Sen. Toomey talks Internet Tax Freedom Act
Updated On: Aug 29 2014 06:23:41 PM CDT
Get ready to pay more for your Internet service.
It could happen if lawmakers don't act fast.
The Internet Tax Freedom Act is set to expire November 1, but there is some chatter that if in order to get one bill passed, another may have to go along for the ride.
The Internet Tax Freedom Act was passed in 1998 to keep state and local municipalities from taxing your access to the Internet. It has been renewed several times.
"I think we should keep internet access affordable and available to people and not impose new taxes on it," said Senator Pat Toomey.
Right now, there are seven states that are excluded from the Internet access tax ban, Texas being one of them.
Last year Texas made roughly $2.5 million in internet access taxes.
Some lawmakers want to make the act permanent and end the exclusions.
Lawmakers are also talking about possibly linking the ban with the Market Place Fairness Act, a measure that would make online purchases subject to local and state sales taxes in an effort to level the playing field between Internet and brick and mortar merchants.
But Senator Pat Toomey says he's confident the tax ban will be approved independent of the sales tax act..
"If we don't extend that then people across Pennsylvania and all across the country are suddenly going to have a new tax on their internet access. Whether that is from a cable provider or from a phone lines or however they get their internet access," said Toomey.
Toomey says lawmakers will be back in Washington September 8 for a two and a half week session before the elections.
He says he is sure the internet tax ban will be passed during the session.
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