03-302                                                                                     CONTACTS:

                                                                                                DARREN McKINNEY (202) 637-3093

FOR IMMEDIATE RELEASE                                                MONICA MCGUIRE (202) 637-3076

 

                                               

 

NAM URGES PERMANENT INTERNET TAX MORATORIUM

 

Says Senate Bill Protects Americans from ‘Another New Tax’

 

WASHINGTON, D.C., October 30, 2003 – Urging Senate passage of the Internet Tax Non-discrimination Act of 2003 before tomorrow’s expiration of the current moratorium on Internet taxation, the National Association of Manufacturers (NAM) today said the bill will “protect American taxpayers from yet another new tax that could be levied at state and local levels.”

 

“It’s no surprise that profligate spenders in state and local governments are lobbying against a permanent moratorium on Internet taxes,” explained NAM Senior Director of Tax Policy Monica McGuire.  “But as the Wall Street Journal’s lead editorial said yesterday, senators favoring new taxes on Internet access should plainly say so and then allow an up or down vote on this critical piece of legislation.

 

“Electronic commerce and Internet use have grown dramatically, benefiting society as a whole, and particularly poor families which now make up the fastest growing Internet-use demographic,” McGuire continued.  “If we reverse course now, well-connected governors, county commissioners and mayors will look to balance their budgets on the backs of those poor families, and we’ll almost certainly see the shrinking digital divide begin to grow again as taxes make Internet access prohibitively expensive for too many Americans.

 

“Beyond the obvious access issue is the fact the Internet is an increasingly important engine for commerce with virtually unlimited potential,” added McGuire.  “To heap multiple layers of taxation on it now would risk a serious slow-down in its use and growth, none of which is going to help our economy grow one bit.”   An NAM letter sent to the full Senate yesterday calling for quick passage of S. 150 is posted at www.nam.org/InternetTaxLetter.

                                                                                                                                                    

-NAM-

 

            The National Association of Manufacturers is the nation’s largest industrial trade association representing 14,000 members (including 10,000 small and mid-sized companies) and 350 member associations serving manufacturers and employees in every industrial sector and all 50 states.  Headquartered in Washington, D.C., the NAM has 10 additional offices across the country.

 

 

               

1331 Pennsylvania Avenue, NW Ÿ Suite 600 Ÿ Washington, DC 20004-1790 Ÿ www.nam.org