November 21, 2003 - Posted at 7:56 a.m. CDT
WASHINGTON, DC - Governor Huckabee is fighting against a federal proposal to ban taxes on Internet access.
Huckabee says a permanent ban could mean up to $40 million in lost revenue for Arkansas, taxes currently levied on communications services like telephone and cable access.
The bill could make a five-year-old Internet tax ban permanent.
Opponents of the measure say its definition of Internet access is so broad it could exempt many types of telecommunications from taxation. Huckabee says states want to maintain existing taxing authority, not create new taxes.
Arkansas does not tax Internet access directly, but does tax other communication services that may one day be connected to the Internet.
Supporters of the bill say tax-free Internet access makes services affordable. The bill has passed the House but stalled in the Senate.