Senate Passes 7-Year Internet Tax Ban Extension

WASHINGTON — The Senate by a voice vote approved legislation Friday that would extend the moratorium on state Internet access taxes for seven years. The bill is viewed as a compromise between lawmakers who proposed a shorter extension and those who wanted it to be permanent.

Internet service providers claim the price of Internet access could rise by as much as 17 percent if the moratorium on state taxes were allowed to expire.

The current state tax ban has been in place since 1998 and was renewed by Congress in 2004 for three years. The present moratorium, which is set to expire Nov. 1, does not apply to states that established Internet access taxes before the ban was passed in 1998.

"By keeping the Internet tax-free and affordable, Congress can encourage Internet use for distance learning, telemedicine, commerce and other important services," Sen. Ted Stevens, R-Alaska, said in a statement Thursday.

The House of Representatives approved a four-year extension of the Internet tax ban on Oct. 16.

The two chambers must work out their differences on the two bills and pass a final version to be signed by the president.

The House and Senate have been considering a number of bills to extend the ban by various amounts of time since May.

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Arizona Senate Removes 'Catch-22' Provision From Consent Bill

The Arizona State Senate has amended a bill that would impose new requirements for adult content uploaded online, removing a seemingly contradictory provision that could have effectively made it impossible for adult sites to operate in the state.

Climaxx Media Launches Networking Platform

Climaxx Media has officially launched its new networking platform.

Italian Court in Aylo Case Limits International Reach of AV Rules

An Italian administrative court has ruled that Italy’s recently-enacted age verification rules for adult content may not currently be enforced against sites based in other EU member states, pending further procedural action under the EU’s Directive on Electronic Commerce.

OCC, FDIC Prohibit Use of 'Reputation Risk' by Regulators

The Office of the Comptroller of the Currency (OCC) and the Federal Deposit Insurance Corporation (FDIC) on Tuesday issued a final rule codifying the elimination of ‘reputation risk’ as a criterion in their supervision of financial institutions.

Wisconsin Governor Vetoes Age Verification Bill

Gov. Tony Evers on Friday vetoed AB 105, an age verification bill that would have allowed anyone to sue adult content providers for damages over alleged failure to age-verify users in Wisconsin, with penalties of up to $10,000 per violation.

FSC Releases Statement on Wisconsin Governor Vetoing AV Bill

The Free Speech Coalition has released a statement on Wisconsin Governor Tony Evers' veto of the state's age verification legislation.

AV Bulletin: West Virginia Enacts AV Law, Ohio 'Innocence Act' Advances

This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Woodhull Survey Reveals Concern Among Sex Educators Over AV Laws' Impact on Access

A national survey of sex educators by the Woodhull Freedom Foundation found that a majority of sex educators and sexual health professionals are concerned that age verification (AV) laws will negatively impact access to information and resources.

Clips4Sale Wins Trademark Infringement Case Against Fraudulent Domain

The World Intellectual Property Organization (WIPO) has ruled in favor of content platform Clips4Sale in a case against a website using a similar domain to impersonate the site.

Pineapple Support, SextPanther to Host Stress Management Support Group

Pineapple Support and SextPanther are hosting a free online support group focused on stress management for performers.

Show More