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January 6, 2015

Hello, Internet Tax!

Filed under: News — admin @ 5:12 pm

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The Net Neutrality debate is heating up this month, where bureaucrats and lawmakers (what a combination!) are meeting to settle what’s what and where whatever stops or starts. It will be a mess, but one thing most likely to come out of it is government control. That means taxes where no taxes existed before.

I’m not talking about an Internet sales tax. That idea is pretty much dead. If the government reclassifies Internet access as a “utility,” however, then under ancient 1930s law, it can be taxed at the state and local level.

Obviously government would love to spend more of your money. The questions I have are what justifies the tax and secondly how is the money spent? Those early telephone taxes where paid so that the old monopolies would be forced to provide service to non-profitable areas. So what’s the justification for an Internet access tax, beyond “more money” for whatever pet project our politician du jour favors?

Reuters

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