FOR IMMEDIATE RELEASE

October 16, 2007

House Passes 4-Year Internet Tax Moratorium Extension

TIA Urges Senate to Adopt Similar Legislation, Put Tax Ban on President's Desk.

Arlington, Va. - The Telecommunications Industry Association (TIA) applauded the U.S. House of Representatives for their action today passing H.R. 3678, the Internet Tax Freedom Act of 2007, sponsored by Chairman John Conyers (D-Mich.), Representatives Linda Sanchez (D-Cal.), Chris Cannon (R-Utah), and Rick Boucher (D-Va.), which extends the expiring Internet tax moratorium, by a vote of 405-2. The bill would extend the soon-to-expire moratorium on Internet access taxes and multiple or discriminatory taxes on online transactions through November 2011. TIA supports the bill as a solid compromise and urges the Senate to take action before the current moratorium expires this November 1.

Quick adoption of this bipartisan legislation, including President Bush signing it into law, would keep the Internet free of access and transaction taxes, which will protect the growth of innovative technology. Such technology is the engine of the American economy and will help keep Internet access within reach of the American public. In a time when the government is busy formulating the best methods for deploying broadband, a strong disincentive to network investment like an Internet access tax could undo a decade of positive trends.

"We applaud the House of Representatives for showing overwhelming bipartisan support for legislation that helps the American consumer. We hope that this action will ensure that the current moratorium on onerous taxes does not expire in November of this year," said TIA President Grant Seiffert. "We strongly encourage the Senate to move in similar fashion to adopt this legislation soon."

For more information about the Internet tax moratorium, please contact Ian Martinez at 703.907.7723 or imartinez@tiaonline.org.

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About TIA
For almost three decades, TIA has leveraged its global resources to create the best possible business environment within which our 500+ members can research, develop, manufacture, market and sell their products and services worldwide. The association accomplishes this through its expertise in standards, advocacy, business development, market intelligence, environmental compliance and information security. TIA is committed to expanding market opportunities while protecting and enhancing the reputation of the global communications industry with all its stakeholders. For more information, go to www.tiaonline.org.