FEDERAL PANEL DISCUSSING INTERNET TAXES

DALLAS — The government’s Advisory Commission on Electronic Commerce convened here Monday for a two-day debate on how to tax e-commerce and Internet access, among other telecommunications issues.
The 19-member federal panel is expected to finalize its stance today and submit formal recommendations to Congress on April 21.
The commission was created by Congress in 1998. At that time, the federal government mandated a three-year moratorium on new Internet taxes. The Dallas meeting is the group’s final conclave. When the panel adjourned on Monday, it had endorsed a proposal from its business members to extend the moratorium to five years. It currently expires in October 2001.
The proposal also recommends that local and state governments simplify sales tax structures in a way that would set the groundwork for Internet taxes.

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