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Free Press Brands Title II Taxes a Hoax

Free Press told the FCC Sunday (Dec. 14) that renewal of the Internet Tax Freedom Act (ITFA) should put to rest cable arguments that the reclassification of Internet access under Title II could mean a new tax hit for companies and consumers. Cable ops are sticking with their assertion.

The moratorium on Internet access service taxes in all but a handful of states passed as part of the omnibus appropriations bill and extends that moratorium at least through September of next year.

"This extension erases any concern that reclassifying Internet-access services under Title II of the Communications Act could lead to a new tax burden on consumers," Free Press told the FCC in a letter pointing out the holes Free Press sees in that tax argument, which was offered up by the Progressive Policy Institute, the National Cable & Telecommunications Association, and the American Consumer Institute (ACI), among others.

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