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Congressional Support Builds to Protect Consumers from Duplicative Digital Taxation

On Wednesday, April 25, 2012, the Senate Finance Committee will examine several state and federal tax challenges, including digital goods taxation. The Download Fairness Coalition (DFC) today applauds nine legislators for voicing their support for the Digital Goods and Services Tax Fairness Act, a bipartisan measure introduced in both chambers by Senators Ron Wyden (D-Ore.) and John Thune (R-S.D.) and Reps. Lamar Smith (R-Texas) and Steve Cohen (D-Tenn.).


U.S. Reps. Rodney Alexander (R-La.), Madeleine Z. Bordallo (D-Guam), Eddie Bernice Johnson (D-Texas), Henry C. “Hank,” Johnson Jr. (D-Ga.), Gregory W. Meeks (D-N.Y.), Gwen Moore (D, Wis.), David Rivera (R-Fla.), Cliff Stearns (R-Fla.), and Robert L. Turner (D-N.Y.) join a bipartisan group of 30 fellow elected officials as co-sponsors of S. 971 and H.R. 1860.


“Only Congress can provide much-needed certainty in how taxes can be imposed fairly on the new ‘borderless’ economy to ensure we remain competitive in today’s global markets,” said Sam Whitehorn, executive director of the Download Fairness Coalition.  “I am hopeful the Senate Finance Committee will address the urgent need to protect consumers from duplicative taxation on digital goods when they convene tomorrow.”


Currently, there is no national framework that clearly identifies which state has the right to tax digital goods or prevent multiple jurisdictions from taxing the same transaction. The Digital Goods and Services Tax Fairness Act would create federal guidelines that prohibit multiple and discriminatory taxes on the sale or use of digital goods or services delivered or transferred electronically to a customer.


The Download Fairness Coalition is engaged in an ongoing initiative to encourage passage of the Digital Goods and Services Tax Fairness Act. As part of that effort, the coalition will be releasing smartphone screen cleaners  to policymakers and stakeholders this week to encourage Congress to help consumers “wipe out” double taxes on digital downloads.

The Download Fairness Coalition is an organization that educates policymakers about the benefits of the digital economy. The organization is committed to policies that increase access to digital goods and services for all consumers.


For more information, visit dfc01.wpengine.com.