Internet Tax Elimination Act

Internet Tax Elimination Act - Amends the Internet Tax Freedom Act to make permanent the prohibition on State and local taxation of Internet access and electronic commerce. Includes within such prohibition sales or use tax on electronic commerce-purchased domestic or foreign goods.

Expresses the sense of Congress that the President should seek a global consensus supporting a permanent ban on electronic commerce tariffs.

[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3252 Introduced in House (IH)]







106th CONGRESS
  1st Session
                                H. R. 3252

To amend the Internet Tax Freedom Act to make permanent and extend its 
          moratorium on certain taxes, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            November 8, 1999

Mr. Kasich (for himself and Mr. Boehner) introduced the following bill; 
 which was referred to the Committee on the Judiciary, and in addition 
  to the Committee on Ways and Means, for a period to be subsequently 
   determined by the Speaker, in each case for consideration of such 
 provisions as fall within the Jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
To amend the Internet Tax Freedom Act to make permanent and extend its 
          moratorium on certain taxes, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Internet Tax Elimination Act''.

SEC. 2. INTERNET TAX MORATORIUM.

    (a) Moratorium Made Permanent.--Section 1101(a) of the Internet Tax 
Freedom Act (47 U.S.C. 151 Note; 112 Stat. 2681-719) is amended--
            (1) by striking ``during the period beginning on October 1, 
        1998, and ending 3 years after the date of the enactment of 
        this Act--'' and inserting a colon;
            (2) in paragraph (1)--
                    (A) by striking ``taxes'' and inserting ``Any 
                tax''; and
                    (B) by striking ``, unless such tax was generally 
                imposed and actually enforced prior to October, 1, 
                1998; and'' and inserting a period; and
            (3) in paragraph (2)--
                    (A) by inserting ``Any'' before ``multiple''; and
                    (B) by striking ``taxes'' and inserting ``tax''.
    (b) Extension and Preemption.--Section 1101 of the Internet Tax 
Freedom Act (47 U.S.C. 151 Note; 112 Stat. 2681-719) is amended--
            (1) in subsection (a), by adding at the end the following 
        new paragraph:
            ``(3) Any sales or use tax on domestic or foreign goods or 
        services acquired through electronic commerce.'';
            (2) by striking subsections (b) and (d);
            (3) by striking ``also'' in subsections (e)(1) and (f)(1); 
        and
            (4) redesignating subsections (c), (e), and (f) as 
        subsections (b), (c), and (d), respectively.
    (c) No Effect on Prior Liability.--Section 1101(c) of the Internet 
Tax Freedom Act (47 U.S.C. 151 Note; 112 Stat. 2681-719) is amended--
            (1) by striking ``for taxes'' and inserting ``for a tax not 
        prohibited by this title prior to January 1, 2001, and''; and
            (2) by striking ``the date of enactment of this Act'' and 
        inserting ``that date''.
    (d) Effective Date of Amendments.--This section shall take effect 
January 1, 2001.

SEC. 3. SENSE OF CONGRESS.

    It is the sense of Congress that the President should--
            (1) seek a global consensus supporting--
                    (A) a permanent international ban on tariffs on 
                electronic commerce; and
                    (B) an international ban on bit, multiple, and 
                discriminatory taxation of electronic commerce and the 
                Internet;
            (2) seek to make permanent and binding the moratorium on 
        tariffs on electronic transmissions adopted by the World Trade 
        Organization in May 1998;
            (3) seek adoption by the Organization for Economic 
        Cooperation and Development, and implementation by the group's 
        29 member countries, of an international ban on bit, multiple, 
        and discriminatory taxation of electronic commerce and the 
        Internet;
            (4) oppose any proposal by any country, the United Nations, 
        or any other multilateral organization to establish a ``bit 
        tax'' on electronic transmissions; and
            (5) instruct the United States representatives to the World 
        Trade Organization, and any other multilateral trade 
        organization of which the United States is a member, to 
        advocate the firm position of the United States that electronic 
        commerce conducted via the Internet should not be burdened by 
        national or local regulation, taxation, or the imposition of 
        tariffs on such commerce.
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