All out opposition from cities, counties, states and the e-Fairness Coalition--and the fact that no hearings have been held--failed to stop the House Judiciary Committee from sending the Internet Freedom Act (HR3709) to the floor for discussion.
A substitute amendment extending the moratorium on Internet taxation for five years accompanied the measure and included a motion to eliminate the grandfather clause, which currently allows 10 states to tax Internet access providers.
A majority of committee members opposed even voting on the bill and related amendments because hearings have not yet taken place.
Rep. William Delahunt's (D-Mass.) amendment to extend the moratorium for only two more years and leave in place the grandfather clause failed to gain the majority needed.
A few members voiced opinions indicating they are against taxing the Internet at all, in the belief the moratorium is needed in to promote growth in the business sector, as well as to retain the "tax surplus" for states and localities. …