The right to access the Internet has always been free in the United States, but that could all change if Congress get their way. Websites like Amazon and eBay may end up charging customers a governmental tax, a move that could change the Internet as we know it today.
At the moment, a federal ban is the reason why Congress hasn't gotten around taxing the Internet just yet, and the hard stance by Amazon, eBay, and other companies that are bound to lose if this bill should ever be passed. We understand that brick and mortar stores stand firmly behind the inclusion of this bill: mainly because these companies are losing out to the Internet.
It's the perfect time for Congress to strike because the ban on taxing the Internet will expire on Nov. 1 and will require to be renewed in order for this to continue as is. Congress is expected to talk about the ban and the possible removal of it before it leaves for election campaigning.
Bear in mind that not only does this ban allow companies on the Internet to keep away from taxation; it also stops the government from taxing consumer's Internet bill. The taxation of Internet bills would likely turn out to be a bigger issue than Internet companies getting taxed.
We're certain consumers will not stand for such an atrocious act, so we're not too worried about bills being taxed if the federal ban is removed.
At the moment, it is said that several states are already gearing up to put the tax in place because they view the legislation as something that must be passed into law. However, opponents of the ban disagree that this is happening.
"They view it as must-pass legislation; it's being characterized that way, but it's not like there is huge support for state and local officials for taxing Internet access," according to Michael Mazarov, a policy analyst with the Center on Budget and Policy Priorities.
According to a previous report, the tax ban on the Internet is costing states around $7 billion in revenues per year; that's enough to realize why removing this ban is so important. It is a potential gold mine waiting to be tapped.
Chances are if the ban is to be kept in place, it will likely be extended for another 10 years, not the permanent extension consumers would prefer. This would leave the door open for more talks down the line and a possible removal if necessary.
