House to Vote Tuesday on Net Tax Moratorium Extension

WASHINGTON, D.C. -- The House of Representatives Tuesday will vote on legislation to extend by two years a moratorium on taxes that specifically target the Internet.

The House will consider H.R. 1552, a measure proposed by Rep. Christopher Cox, R-Calif., that would have extended the ban by five years. Earlier this week, however, the House Judiciary Committee unexpectedly approved an amendment by Rep. Spencer Bachus, R-Ala., to reduce the extension to two years.

The current three-year moratorium is set to expire on Oct. 21, 2001.

The Bachus amendment also changed the permanent moratorium on Internet access charges to a two-year ban. In addition, the substitute amendment eliminated a provision in the underlying bill that would have barred 11 states that already impose access taxes from levying the charges.

GOP leaders on the Judiciary Committee have pledged to introduce several amendments once the bill reaches the floor, including language that would reinstate the permanent ban on Internet access taxes.

The House put the bill on its "suspension calendar." Bills up for suspension votes typically pass with a minimum of controversy, but if a roll-call vote is ordered, two-thirds of the House must approve the legislation, rather than the 51 percent majority required for other bills.