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 The bipartisan measure, passed by voice vote, also bans
discriminatory taxes on e-commerce.
"This legislation prevents a surprise tax hike on Americans’
critical services this fall," said the bill's sponsor, Republican
House Judiciary Committee Chairman Bob Goodlatte.
A similar bill introduced in the U.S. Senate has 49 co-sponsors,
including 11 Democrats, likely enough to secure passage.
But the House's "Permanent Internet Tax Freedom Act" fails to
address thorny questions over state sales taxes on goods and
services sold via the Internet.
Currently, 45 states have imposed sales taxes on online purchases,
but only some states require e-tailers to actually collect these
revenues from customers.
Brick-and-mortar retailers have pushed for years for legislation
that ensures full and consistent collection of online sales taxes in
all 45 states. They argue that the current, patchwork system gives
many online merchants a pricing advantage over traditional stores
that must, under law, collect taxes from customers.
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Online shoppers are supposed to submit payment for tax due, but
almost no one does. As a result, many online purchases are
effectively tax-free and cheaper than in-store purchases.
A House Judiciary Committee aide said lawmakers were working on a
proposal to address the sales tax issue but declined to provide
further details.
(Reporting By David Lawder; Editing by Cynthia Osterman)
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