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In an economy gone sour, local governments seeking new sources of tax revenue have begun hungrily eying their residents’ monthly cell phone bills. But some members of Congress would like to block that, which has sparked a debate in Washington about federalism, tax policy, and fairness.
Introduced in April by Rep. Zoe Lofgren, D-Calif., the Cell Tax Fairness Act would impose a five-year moratorium on what the bill describes as any “new discriminatory tax” on wireless services and providers. Foes and supporters of the measure showed up Thursday in front of the House Judiciary Committee’s subcommittee on commercial and administrative law.