Tech Law Journal

Appointments by Dick Gephardt

Appointments by Tom Daschle

(a) Establishment of Commission.--There is established a commission to be known as the Advisory Commission on Electronic Commerce (in this title referred to as the "Commission"). The Commission shall--

(1) be composed of 19 members appointed in accordance with subsection (b), including the chairperson who shall be selected by the members of the Commission from among themselves; and

(2) conduct its business in accordance with the provisions of this title.

(b) Membership.--

(1) In general.--The Commissioners shall serve for the life of the Commission. The membership of the Commission shall be as follows:

(A) 3 representatives from the Federal Government, comprised of the Secretary of Commerce, the Secretary of the Treasury, and the United States Trade Representative (or their respective delegates).

(B) 8 representatives from State and local governments (one such representative shall be from a State or local government that does not impose a sales tax and one representative shall be from a State that does not impose an income tax).

(C) 8 representatives of the electronic commerce industry (including small business), telecommunications carriers, local retail businesses, and consumer groups, comprised of--

(i) 5 individuals appointed by the Majority Leader of the Senate;

(ii) 3 individuals appointed by the Minority Leader of the Senate;

(iii) 5 individuals appointed by the Speaker of the House of Representatives; and

(iv) 3 individuals appointed by the Minority Leader of the House of Representatives.

(2) Appointments.--Appointments to the Commission shall be made not later than 45 days after the date of the enactment of this Act. The chairperson shall be selected not later than 60 days after the date of the enactment of this Act.

(3) Vacancies.--Any vacancy in the Commission shall not affect its powers, but shall be filled in the same manner as the original appointment.

(c) Acceptance of Gifts and Grants.--The Commission may accept, use, and dispose of gifts or grants of services or property, both real and personal, for purposes of aiding or facilitating the work of the Commission. Gifts or grants not used at the expiration of the Commission shall be returned to the donor or grantor.

(d) Other Resources.--The Commission shall have reasonable access to materials, resources, data, and other information from the Department of Justice, the Department of Commerce, the Department of State, the Department of the Treasury, and the Office of the United States Trade Representative. The Commission shall also have reasonable access to use the facilities of any such Department or Office for purposes of conducting meetings.

(e) Sunset.--The Commission shall terminate 18 months after the date of the enactment of this Act.

(f) Rules of the Commission.--

(1) Quorum.--Nine members of the Commission shall constitute a quorum for conducting the business of the Commission.

(2) Meetings.--Any meetings held by the Commission shall be duly noticed at least 14 days in advance and shall be open to the public.

(3) Opportunities to testify.--The Commission shall provide opportunities for representatives of the general public, taxpayer groups, consumer groups, and State and local government officials to testify.

(4) Additional rules.--The Commission may adopt other rules as needed.

(g) Duties of the Commission.--

(1) In general.--The Commission shall conduct a thorough study of Federal, State and local, and international taxation and tariff treatment of transactions using the Internet and Internet access and other comparable intrastate, interstate or international sales activities.

(2) Issues to be studied.--The Commission may include in the study under subsection (a)--

(A) an examination of--

(i) barriers imposed in foreign markets on United States providers of property, goods, services, or information engaged in electronic commerce and on United States providers of telecommunications services; and

(ii) how the imposition of such barriers will affect United States consumers, the competitiveness of United States citizens providing property, goods, services, or information in foreign markets, and the growth and maturing of the Internet;

(B) an examination of the collection and administration of consumption taxes on electronic commerce in other countries and the United States, and the impact of such collection on the global economy, including an examination of the relationship between the collection and administration of such taxes when the transaction uses the Internet and when it does not;

(C) an examination of the impact of the Internet and Internet access (particularly voice transmission) on the revenue base for taxes imposed under section 4251 of the Internal Revenue Code of 1986;

(D) an examination of model State legislation that--

(i) would provide uniform definitions of categories of property, goods, service, or information subject to or exempt from sales and use taxes; and

(ii) would ensure that Internet access services, online services, and communications and transactions using the Internet, Internet access service, or online services would be treated in a tax and technologically neutral manner relative to other forms of remote sales;

(E) an examination of the effects of taxation, including the absence of taxation, on all interstate sales transactions, including transactions using the Internet, on retail businesses and on State and local governments, which examination may include a review of the efforts of State and local governments to collect sales and use taxes owed on in-State purchases from out-of-State sellers; and

(F) the examination of ways to simplify Federal and State and local taxes imposed on the provision of telecommunications services.

(3) Effect on the communications act of 1934.--Nothing in this section shall include an examination of any fees or charges imposed by the Federal Communications Commission or States related to--

(A) obligations under the Communications Act of 1934 (47 U.S.C. 151 et seq.); or

(B) the implementation of the Telecommunications Act of 1996 (or of amendments made by that Act).

(h) National Tax Association Communications and Electronic Commerce Tax Project.--The Commission shall, to the extent possible, ensure that its work does not undermine the efforts of the National Tax Association Communications and Electronic Commerce Tax Project.

Speaker's Press Office
United States House of Representatives
Washington, DC 20515

SPEAKER ANNOUNCES APPOINTMENTS TO ADVISORY COMMISSION ON ELECTRONIC COMMERCE

Washington, D.C. - House Speaker Newt Gingrich announced his appointments to the Advisory Commission on Electronic Commerce today. Speaker Gingrich's five appointments are Dean Andal, Governor James Gilmore, Grover Norquist, Richard D. Parsons, and David Pottruck.

This 19-member commission was established by the Internet Tax Freedom Act.  Its purpose is to study taxes and tariffs related to Internet access and Internet transaction issues at the federal, state, local and international levels.

Gingrich stated, "These five outstanding individuals are sure to make valuable contributions to this commission. Their ideas and expertise will help guide us in making the best policies we can to allow continued growth of the Internet and electronic commerce."

Speaker Gingrich's appointments come from both the private sector and the public sector to represent a variety of interests. Dean Andal, author of "Read My E-mail, No New Taxes," is Chairman of California's State Board of Equalization. Governor James Gilmore of Virginia has played an integral role in keeping watch over state taxation, and represents a state with a high concentration of Internet companies. Grover Norquist is President of Americans for Tax Reform and will represent the interests of the American taxpayer. Richard D. Parsons, President of Time Warner, Inc., has also served as chairman of New York City's Economic Development Corporation. David Pottruck is President and co-CEO of Charles Schwab and Company and is supported by the Internet Tax Fairness Coalition.

"Speaker Gingrich selected a talented group, well-suited to carry out the mandate of the Internet Tax Freedom Act," said House Policy Chairman Christopher Cox, the author of the bill. "With these appointments, and with his leadership in carrying the Internet Tax Freedom Act into law, the Speaker has helped ensure the permanent adoption of yet another revolutionary idea: Information should not be taxed."