House Passes Permanent Internet Tax Freedom Act (PITFA) to Ban Internet Access Taxes

Washington, D.C. – Today, the House of Representatives passed H.R. 235, the Permanent Internet Tax Freedom Act (PITFA), by a voice vote. This broadly bipartisan legislation permanently bans states from taxing Internet access or placing multiple or discriminatory taxes on e-commerce. PITFA keeps the Internet affordable and drives innovation by banning access taxes permanently. If the moratorium is not renewed or made permanent, the potential tax burden on Americans would be substantial. It is estimated that Internet access tax rates could be more than twice the average rate of all other goods and services – and the last thing that Americans need is another tax bill on their doorsteps. Original legislation that temporarily banned Internet access taxes, the Internet Tax Freedom Act (ITFA), was first enacted in 1998 and extended five times with nearly unanimous support. Last Congress, the House of Representatives passed PITFA by voice vote. House Judiciary Committee Chairman Bob Goodlatte (R-Va.), Congresswoman Anna Eshoo (D-Calif.), Subcommittee on Regulatory Reform, Commercial and Antitrust Law Chairman Tom Marino (R-Pa.), Congressman Steve Chabot (R-Ohio), and Congressman Steve Cohen (D-Tenn.) issued the following statement after the passage of PITFA: “We applaud the bipartisan passage of the Permanent Internet Tax Freedom Act today in the House. PITFA is a necessary measure to keep Internet access free of taxation. Internet access drives innovation and the success of our economy. It is a gateway to knowledge, opportunity, and the rest of the world. The American people deserve affordable access to the Internet and the Permanent Internet Tax Freedom Act will help prevent unreasonable cost increases that hurt consumers and slow job creation.”