News

Hungry States Eye Web Sales Taxes, Net Casinos

NetworkWorld

Virginia Democrat Rick Boucher and Texas Republican Lamar Smith have introduced the Digital Goods and Services Tax Fairness Act of 2010 which would make it extremely difficult for states to levy taxes on goods and services purchased over the Web.  The Boucher-Smith bill would impede the taxing of digital goods because it would force state legislatures to hold up or down votes every time a state agency attempted to tax anything sold via the Internet.

 

Read More at NetworkWorld

http://www.networkworld.com/news/2010/080210-hungry-states-eye-web-sales.html

Sales tax proposal could slam South Carolina residents

The Post and Courier

South Carolina's Tax Realignment Commission is recommending that the state for the first time charge sales taxes on digital purchases from online stores including iTunes and Amazon.com. The commission's proposal is the latest in a series of changes lawmakers have made to the system of tax collections, and represent a reversal of recent legislative philosophies. However, no changes will happen unless the Legislature approves them.

 

Read more at The Post and Courier

http://www.postandcourier.com/news/2010/jul/22/taxing-ideas/

Congress weighs curbs on state "itaxes"

CNET News

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.

 

Read more at CNET news

http://news.cnet.com/politics-and-law/8300-13578_3-38.html?keyword=digital+downloads

Digital Goods and Services Tax Fairness Act of 2010 Introduced

American Association of Independent Music

The American Association of Independent Music (A2IM), a member of the "Digital Goods Coalition", emphasized the need for a fair basis of taxation. A2IM expressed concern over the possibility of multiple taxation by various countries and states because its music is sold over global communications networks that are not bound by state and local boundaries. As a result, A2IM has signed on to a letter to Congress in support of the Digital Goods and Services Tax Fairness Act of 2010.

 

Read more at A2IM

http://a2im.org/2010/07/02/digital-goods-and-services-tax-fairness-act-of-2010-introduced/

City looks to tap Internet Revenues

Pioneer Local

Highland Park Mayor Michael D. Belsky plans to spearhead an initiative lobbying Illinois' federal legislatures to revive Congressional debate on a nationwide Internet sales tax. Mayor Belsky does not think a national digital download tax would put Highland Park at a competitive disadvantage if it were applied fairly across the country.  Belsky's strategy to institute an Internet sales tax differs substantially from the plan proposed by Illinois Governor Pat Quinn. Quinn seeks to impose a new state sales tax on all downloaded songs and movies which would put the entire state of Illinois at a competitive disadvantage.

 

Read more at Pioneer Local

Bill Addresses Taxes on Digital Goods, Services

National Journal

A new bill introduced by Representatives Rick Boucher, (D-VA)., and House Judiciary ranking member Lamar Smith, (R-TX) would bar states and local jurisdictions from imposing "multiple or discriminatory" taxes on the sale or use of digital goods and services, such as downloaded music or software, to ensure they are treated the same as physical goods. It also would stipulate that taxes could only be imposed on the retail sale or use of digital goods or services in order to prevent repeated forms of taxation from being imposed at multiple stages of an online transaction and would only allow the jurisdiction where the customer lives to impose sales taxes on digital goods and services.

 

Read more at National Journal

Two bills tackle online retail disparities

The Hill

The Digital Goods and Services Tax Fairness Act, introduced by Representatives. Rick Boucher (D-VA) and Lamar Smith (R-TX) on Wednesday, tries to ensure digital products and services are not taxed more heavily than products bought in stores.  Congressman Bouchner emphasized the following: "Unfair, multiple and inconsistent taxation of…digital goods and services will increase costs for U.S. businesses and make them less competitive in the global economy,"Backers of the Boucher Smith Bill include theRecording Industry Association of America, Verizon, Apple and Time Warner.

 

Read More at The Hill

Digital Goods and Services Tax Fairness Act of 2010

Scottrade

Congressmen Rick Boucher (D-VA) and Lamar Smith (R-TX) introduced before the House of Representatives the Digital Goods and Services Tax Fairness Act. Currently, consumers and businesses are exposed to complicated and inequitable taxation --even possible double taxation--on digital goods because of inconsistent laws throughout the country. These duplicative and complicated state and local taxes threaten the vitality and viability of entrepreneurs creating jobs in the digital marketplace. To ensure uniformity and impartiality and to protect and promote the Internet marketplace, the proposed bill calls for the establishment of a consistent national framework on the taxation of digital goods.

 

Read Congressman Rick Boucher's Speech to the House of Representatives introducing the Digital Goods and Services Tax Fairness Act

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