[Congressional Record Volume 160, Number 111 (Wednesday, July 16, 2014)]
[Extensions of Remarks]
[Page E1170]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


                   PERMANENT INTERNET TAX FREEDOM ACT

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                               speech of

                           HON. ERIK PAULSEN

                              of minnesota

                    in the house of representatives

                         Tuesday, July 15, 2014

  Mr. PAULSEN. Madam Speaker, I rise in support of H.R. 3086, the 
Permanent Internet Tax Freedom Act. This legislation makes permanent 
the ban on state and local taxation of Internet access. This is vital 
to ensuring continued economic growth powered by the Internet and 
digital economy.
  I am encouraged by the bipartisan support for this legislation and am 
hopeful that it will be enacted into law before the November 1 
expiration date.
  As a former state legislator and Minnesota House Majority Leader, I 
am a strong believer in states' rights. In addition to the legislation 
before the House today, I would also like to highlight the efforts of 
my colleagues Jason Chaffetz, Steve Womack, Suzan DelBene, Jackie 
Speier, and other members of the Judiciary Committee.
  They are working diligently on similar states' rights legislation to 
address federal law for sales made over the Internet. This is 
important, because purchasing items on the Internet should not offer 
tax breaks that are not extended to brick and mortar retailers. States 
should be encouraged to compete with one another by keeping tax rates 
low, not by promoting one form of commerce over another.
  The Internet Tax Freedom Act has helped e-commerce grow to over $220 
billion this year. And with 20 percent annual growth projected through 
2017, it's time to update outdated federal interstate commerce laws to 
ensure all retailers are treated the same.
  The tax code should not pick winners and losers. As commerce is 
conducted on the Internet, we should ensure there is an even playing 
field for all businesses.
  In fact, I've heard from many retailers in my home state of Minnesota 
about the importance of this legislation to their ability to compete on 
a level playing field.
  Madam Speaker, I'm hopeful this body will also consider this 
legislation before the end of the year.

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