Originally published June 26 2005
House of Representatives strike down bill to tax cell phones
by Mike Adams, the Health Ranger, NaturalNews Editor
A bill drafted by Louisiana Rep. Cedric Richmond would tax cell phones in order to raise $49 million a year for local governments. The House of Representatives overwhelmingly opposed it.
Representative Cedric Richmond calls his bill to change the way local municipalities tax phone usage a tax decrease for grandmothers and schools, but House members saw it with a different slant, as a new tax on cell phones.
So, they overwhelmingly rejected the bill today.
Richmond's bill would have reduced the five percent local telephone tax on home phone usage to two percent, then spread out the two percent to all phone users.
Cell phone companies were adamantly opposed, as were many of the lawmakers in the House.
The bill would raise 49 (m) million dollars a year in new cash for local governments.
Richmond said he brought the bill on behalf the state's police jury association, municipal association and the city of New Orleans.
Richmond said the bill would broaden the tax base and reduce the tax burden on home phone users, like the elderly.
But Representative Peppi Bruneau said the tax started as a fee for using the public right of way to run telephone lines, which cell phones don't have.
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