[Congressional Record (Bound Edition), Volume 149 (2003), Part 17]
[Extensions of Remarks]
[Page 23700]
[From the U.S. Government Publishing Office, www.gpo.gov]




              INTERNET TAX NONDISCRIMINATION ACT, H.R. 49

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                           HON. EARL POMEROY

                            of north dakota

                    in the house of representatives

                      Tuesday, September 30, 2003

  Mr. POMEROY. Mr. Speaker, today the House of Representatives 
addressed H.R. 49, the Internet Tax Nondiscrimination Act. This bill 
would make permanent the moratorium on internet access taxes first put 
into place in the Internet Tax Freedom Act (ITFA).
  When the ITFA was first enacted, it exempted 10 states that already 
had in place mechanisms for taxing internet access. North Dakota was 
one of those states.
  I have long been opposed to taxing internet access and have 
consistently voted in favor of the moratorium on internet taxation. All 
prior extensions of the moratorium, however, have provided for the 
continuation of the state exemption. H.R. 49, however, would not only 
make the moratorium permanent, but would also remove the exemption 
North Dakota and the other nine states have been receiving.
  I strongly believe that the internet and the technology it brings 
with it is one of our country's most important economic engines. This 
is equally true for North Dakota. The internet has the ability to aid 
economic development not only in our larger cities, but also in our 
rural areas.
  Because the end of the state exemption will mean the loss of tens of 
millions of dollars for those states that will be losing their ability 
to tax internet access, I urge my colleagues to give these states 
flexibility. Our colleagues in the Senate have done just this by 
including a 3-year delay. I encourage my colleagues to consider such a 
mechanism.

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