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Taken from TCS Daily

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A Threat to the Internet

By Rep. John Boehner : BIO| 12 Oct 2007

In our rapidly changing global marketplace, America's entrepreneurs, innovators, and workers are striving to remain competitive, and Republicans in Congress have consistently focused on keeping the Internet free from taxation, cutting taxes so entrepreneurs will have a greater incentive to put more money into growing their businesses, and removing regulatory obstacles to competition. The result has been an improving standard of living, millions of additional private sector jobs, and new products, services, and industries that enrich our lives every day.


Since taking the Majority in the U.S. House, by contrast, Democrats have promoted what they call their "Innovation Agenda." In reality, this agenda amounts to little more than a litany of recycled federal initiatives, proving once again that congressional Democrats believe the ideas which trigger innovation and economic growth come to life in Washington, D.C. and not in the free market.


Curiously missing from the Democrats' Innovation Agenda is a measure to make permanent the ban on Internet taxes. Their deafening silence on the issue is especially noteworthy because the ban - first put in place by a Republican Congress in 1998 - is set to expire in mere weeks, on November 1. Few people would argue with the fact that the Internet is driving economic growth in ways we couldn't have imagined 20 years ago. And, at the same time, few people fail to see its potential for driving new economic growth in the future. In fact, the Internet could be viewed as the "hub" of innovation in the 21st Century; there's simply no telling what new doors it could open for students, workers, and consumers in the future.


So, why would we even consider levying onerous taxes upon it? In my view, there's no quicker way to reverse the Internet's incredibly strong and positive impact on our economy than to force consumers and business owners to pay even more to access and make purchases over it.


But that's just what could happen if the ban ever expired: states and localities would have free-rein to tax the web. And that's why, on a number of occasions over the past decade, the Republican-led House passed legislation to make this ban permanent. Unfortunately, our efforts were consistently thwarted by the Senate, leading us to pass a temporary moratorium, which - as I noted - will expire in a matter of weeks. To keep Congress from having to punt on the tax ban once again, House Republican leaders have called on Speaker Nancy Pelosi (D-CA) and Majority Leader Steny Hoyer (D-MD) to follow the Republican House's lead and schedule a permanent Internet tax ban for a vote. To date, all they have done is advanced a temporary extension of the ban in the Judiciary Committee - ignoring our request to schedule a House vote on a permanent ban.


The Democratic leadership's refusal to schedule a vote on a permanent Internet tax ban is particularly puzzling given their afore-mentioned Innovation Agenda. One of the core goals of that agenda, for example, is the "nationwide deployment of high speed, always-on broadband Internet and mobile communications." A copy of the agenda - publicly available on Speaker Pelosi's website - affirms, "Just as railroads and highways did in the past, broadband and mobile communications will dramatically increase the productivity and efficiency of our economy in the future and bring more Americans into an online global community and marketplace."


I happen to agree. Yet I also happen to believe that the productivity and efficiency of our economy would be stalled significantly if Internet access and purchases were taxed. And that's precisely why the ban must be made permanent.


The Democrats' agenda further states, "Small businesses are the catalysts for technological innovation... Yet small businesses face significant hurdles, both regulatory and marketbased, that thwart the effort to transform ideas into jobs. Removing these hurdles is a key component of this Innovation Agenda."


Once again, I happen to agree. Yet I also happen to believe that taxing the Internet would be a severe blow to small business owners and their employees. But don't just take my word for it. Democratic Chairwoman of the House Small Business Committee, Rep. Nydia Velazquez (D-NY), recently acknowledged that the tax hike would saddle small businesses with a 15 to 30 percent increase in their Internet bills. Once again, that's precisely why the ban must be made permanent.


So why are Democratic leaders dragging their feet on legislation to protect small businesses and other Internet users from a massive tax hike? For the answer, one needs to look no further than the record they've assembled on taxes all year long. Democratic tax hike proposals so far this year include: the now-infamous $150 billion "war surtax" proposal; federal gas tax hikes to pay for Democratic energy legislation and infrastructure; and a massive $392.5 billion tax increase on middle-class families in their very first budget proposed in the Majority. And that's just the tip of the iceberg. Democrats also are preparing for battle over the alternative minimum tax - a particularly perverse tax swamping more and more middle-income families that Republicans want to eliminate and Democrats want to preserve.


Al Gore didn't create the Internet, but the leaders of his party have proven themselves eminently capable of taxing it. By refusing to make the Internet tax ban permanent, the Democratic leadership is playing an irresponsible game of chicken with American consumers and our nation's economy. As November 1 draws closer, Democrats face a choice: will they protect millions of consumers and small businesses from a massive, abrupt tax increase, or will they add to their ever-growing list of tax hikes and undermine the very same innovation they claim to be promoting on Capitol Hill?

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This is what you voted for in 2006 America. Got caught up in the whole I hate Bush derangement syndrom and now YOU America are going to pay the price for it. More taxes, more regulation, more government intervention and all the while moving more towards a Nanny state. Nicely done you fools.

Do everyone a favor, unless you know what the whole agenda of a political party is, dont vote for them. Republicans and Conservatives alike tried to warn you, I TRIED to warn you, but did you listen? NOPE

As you reap, you shall sow