The House of Representatives is considering a permanent extension of the Internet Tax Freedom Act (H.R. 3086). The GFOA strongly opposes this measure because it would cost states and localities millions of dollars in revenue in the coming years, as more services that are subject to traditional taxation transition to the Internet.
To assist the state and local government community, Rep. John Conyers (D-MI) is interested in introducing a short-term extension of the Internet Tax Freedom Act, which the GFOA supports. This would give states and local governments and members of Congress more time to assess the true and long-term costs of such a preemption, including its impact on the ability of states and localities to continue providing essential services to their citizens.
GFOA members are encouraged to contact their members of Congress, urging them to reject a permanent extension of the Internet Tax Freedom Act and instead to work with Rep. Conyers to support a short-term extension.