IDEAS home Printed from https://ideas.repec.org/a/sae/pubfin/v32y2004i2p131-147.html
   My bibliography  Save this article

Has Internet Access Taxation Affected Internet Use?

Author

Listed:
  • Donald Bruce
  • John Deskins
  • William F. Fox

Abstract

Most arguments in favor of the Internet Tax Freedom Act (ITFA) assume that taxing Internet access would reduce Internet use. The authors investigate this possibility empirically, making use of panel data covering all U.S. states for the years 1998, 2000, and 2001. Statutory variation in the taxation of Internet access occurs because 10 states were permitted to continue their existing Internet access taxes as of the initial passage of the ITFA in 1998. None of the econometric analyses provides any evidence that Internet access taxes have had an effect on Internet access rates.

Suggested Citation

  • Donald Bruce & John Deskins & William F. Fox, 2004. "Has Internet Access Taxation Affected Internet Use?," Public Finance Review, , vol. 32(2), pages 131-147, March.
    • Handle: RePEc:sae:pubfin:v:32:y:2004:i:2:p:131-147
    DOI: 10.1177/1091142103258236
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/1091142103258236
    Download Restriction: no
    File URL: https://libkey.io/10.1177/1091142103258236?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Hausman, Jerry, 2015. "Specification tests in econometrics," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 38(2), pages 112-134.
    2. Goolsbee, Austan & Zittrain, Jonathan, 1999. "Evaluating the Costs and Benefits of Taxing Internet Commerce," National Tax Journal, National Tax Association;National Tax Journal, vol. 52(3), pages 413-428, September.
    3. Diamond, Peter A & Mirrlees, James A, 1971. "Optimal Taxation and Public Production II: Tax Rules," American Economic Review, American Economic Association, vol. 61(3), pages 261-278, June.
    4. Goolsbee, Austan & Zittrain, Jonathan, 1999. "Evaluating the Costs and Benefits of Taxing Internet Commerce," National Tax Journal, National Tax Association, vol. 52(n. 3), pages 413-28, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Goolsbee Austan, 2006. "The Value of Broadband and the Deadweight Loss of Taxing New Technology," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 5(1), pages 1-31, April.
    2. Rajeev Goel & Edward Hsieh & Michael Nelson & Rati Ram, 2006. "Demand elasticities for Internet services," Applied Economics, Taylor & Francis Journals, vol. 38(9), pages 975-980.
    3. Ballard, Charles L. & Lee, Jaimin, 2007. "Internet Purchases, Cross-Border Shopping, and Sales Taxes," National Tax Journal, National Tax Association;National Tax Journal, vol. 60(4), pages 711-725, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Donald Bruce & William Fox & Matthew Murray, 2003. "To Tax Or Not To Tax? The Case Of Electronic Commerce," Contemporary Economic Policy, Western Economic Association International, vol. 21(1), pages 25-40, January.
    2. Ligthart, J.E., 2004. "Consumption Taxation in a Digital World : A Primer," Other publications TiSEM 46537bf7-4822-4dbe-b3fa-f, Tilburg University, School of Economics and Management.
    3. Charles E. McLure, Jr., 2002. "Thinking Straight about the Taxation of Electronic Commerce: Tax Principles, Compliance Problems, and Nexus," NBER Chapters, in: Tax Policy and the Economy, Volume 16, pages 115-140, National Bureau of Economic Research, Inc.
    4. Jorge Martinez-Vazquez & Violeta Vulovic & Yongzheng Liu, 2011. "Direct versus Indirect Taxation: Trends, Theory, and Economic Significance," Chapters, in: Emilio Albi & Jorge Martinez-Vazquez (ed.), The Elgar Guide to Tax Systems, chapter 2, Edward Elgar Publishing.
    5. Penard, Thierry & Poussing, Nicolas & Mukoko, Blaise & Tamokwe Piaptie, Georges Bertrand, 2015. "Internet adoption and usage patterns in Africa: Evidence from Cameroon," Technology in Society, Elsevier, vol. 42(C), pages 71-80.
    6. Alberto Sole Olle, 1998. "The effects of tax deductibility on the mix of property taxes and use charges: an empirical analysis of the spanish case," Working Papers in Economics 41, Universitat de Barcelona. Espai de Recerca en Economia.
    7. Quigley, Neil & Evans, Lewis, 2001. "Local Body Rating of the Distribution Networks of Utility Companies: An Economic Analysis," Working Paper Series 19002, Victoria University of Wellington, The New Zealand Institute for the Study of Competition and Regulation.
    8. Thierry PENARD & Nicolas POUSSING & Gabriel ZOMO YEBE & Philémon NSI ELLA, 2012. "Comparing the Determinants of Internet and Cell Phone Use in Africa: Evidence from Gabon," Communications & Strategies, IDATE, Com&Strat dept., vol. 1(86), pages 65-83, 2nd quart.
    9. Bruce, Donald & Fox, William F., 2000. "E-Commerce in the Context of Declining State Sales Tax Bases," National Tax Journal, National Tax Association;National Tax Journal, vol. 53(4), pages 1373-1390, December.
    10. Steel, Will & Daglish, Toby & Marriott, Lisa & Gemmell, Norman & Howell, Bronwyn, 2013. "E-Commerce and its effect upon the Retail Industry and Government Revenue," Working Paper Series 4333, Victoria University of Wellington, The New Zealand Institute for the Study of Competition and Regulation.
    11. Burnes, Daria & Neumark, David & White, Michelle J., 2012. "Fiscal Zoning, Sales Taxes, and Employment: Do Higher Sales Taxes Lead to More Jobs in Retailing and Fewer Jobs in Manufacturing?," IZA Discussion Papers 6383, Institute of Labor Economics (IZA).
    12. Thierry Pénard & Nicolas Poussing, 2006. "Usage de l'Internet et investissement en capital social," Recherches économiques de Louvain, De Boeck Université, vol. 72(4), pages 413-446.
    13. Pénard, Thierry & Poussing, Nicolas & Suire, Raphaël, 2013. "Does the Internet make people happier?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 46(C), pages 105-116.
    14. Daria Burnes & David Neumark & Michelle J. White, 2014. "Fiscal Zoning and Sales Taxes: Do Higher Sales Taxes Lead to More Retailing and Less Manufacturing?," National Tax Journal, National Tax Association;National Tax Journal, vol. 67(1), pages 7-50, March.
    15. Raphaël Suire & Thierry Pénard & Fabrice Le Guel, 2005. "Adoption et usage marchand de l’Internet : une étude économétrique sur données bretonnes," Économie et Prévision, Programme National Persée, vol. 167(1), pages 67-84.
    16. Benjamin Russo, 2005. "An Efficiency Analysis of Proposed State and Local Sales Tax Reforms," Southern Economic Journal, John Wiley & Sons, vol. 72(2), pages 443-462, October.
    17. Tiantian Dai & Shenyi Jiang & Xiangbo Liu & Wen Wang, 2016. "The Impact of Internet Sales Tax in a Search Model of Money: Some Analytical Results," Annals of Economics and Finance, Society for AEF, vol. 17(1), pages 133-144, May.
    18. Yetkiner, I. Hakan & Horvath, Csilla, 2000. "Macroeconomic implications of virtual shopping : a theoretical approach," CCSO Working Papers 200004, University of Groningen, CCSO Centre for Economic Research.
    19. PENARD Thierry & POUSSING Nicolas & ZOMO YEBE Gabriel & NSI ELLA Philémon, 2012. "Usage d'Internet et du téléphone mobile en Afrique : une comparaison des déterminants d'adoption sur données gabonaises," LISER Working Paper Series 2012-15, Luxembourg Institute of Socio-Economic Research (LISER).
    20. Bernardi, Luigi, 2015. "Internet and taxation in European Union," MPRA Paper 65638, University Library of Munich, Germany.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:pubfin:v:32:y:2004:i:2:p:131-147. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.