Currently, some 23 states and the District of Columbia levy sales taxes in one form or another on e-books, music, apps, ringtones, and other digital downloads. However, a new proposal in the U.S. Congress titled the Digital Goods and Services Tax Fairness Act, is designed to ensure that these"iTaxes" which have popped up all over the country in the last three years do not single out the digital marketplace with excessive or discriminatory taxes. The bill, sponsored by Congressmen Rick Boucher (D-VA) and Lamar Smith (R-TX.), is part of a broader effort by technology firms and telecommunications providers to push back against what they view as tax agencies that are unreasonably singling out electronic purchases with unfair, expensive, and confusing rules.
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