Taxing the Internet

There's a bill currently in Georgia that would basically tax the Internet.

[Rep. Jay] Powell's measure would replace that lost revenue with a broader tax base, imposing a sales tax on music downloads, streaming services such as Netflix and Hulu, and other digital purchases.

Powell is co-Chair of the Rural Development Council and heads the House Ways and Means Committee so you would have to guess there's a good chance this bill becomes law in Georgia.

The revenue from the bill would supposedly go to fund broadband expansion for those areas of the State that are currently "unserved" by high speed broadband. That's a commendable goal but is this the right way to go ahead and fund something like that? I can see other states following suit just to get the funds without the commendable goals.

The TEA in TEA Party stood for "Taxed Enough Already" and I can foresee a measure like the Georgia Bill spreading to other states also potentially giving rise to a rebirth of the Tea Party. Maybe Apple and Google can use their considerable hoarded wealth to lobby to help stop this from happening.