He said he anticipated the Senate to vote on this bill, which is expected to include a number of other tax provisions to help small businesses absorb wage increases, before its Memorial Day recess on May 26. The Senate Commerce Committee is scheduled to consider Internet tax legislation as early as this Thursday, according to the Associated Press. Lawmakers are expected to extend a moratorium expiring this October that bars taxes on Internet access and prohibits taxes that single out the Internet. Meanwhile, a coalition of retailers and shopping centers are lobbying for sales taxes to apply equally to all sales. Many Internet businesses are now reportedly more willing than in the past to accept such a system, as long as the compliance burdens are not too great.
Businesses favor extending the Internet tax moratorium.
Next Week A bill giving states more flexibility in spending federal education funds is facing a rocky road in the Senate. The bill would significantly reform federal education policy by giving the states more flexibility in spending federal education funds and requiring mandatory student testing. Businesses are supporting increased education spending, citing the need for a better-trained workforce to handle new technology and challenges. At a hearing on ergonomics held by the Senate Labor Appropriations subcommittee last week, Labor Secretary Elaine Chao said her department is considering issuing voluntary workplace ergonomics guidelines rather than mandatory standards. Secretary Chao also said she would not commit to deadlines or to a time frame during which guidelines would be prepared and proposed.