by mcrowe
22. September 2009 05:38
California residents who subscribe to Direct TV and Dish network got some good news--at least for a while. A bill to adda 5 % sales tax to satellite TV providers won't make it to the legislative floor before the final days of the session. Cable companies currently pay a 5% franchise fee to local governments for the right to run their lines across public land. Consequently, the cable industry has lobbied hard in California and other states to have similar fees applied to satellite providers. At stake was a $170-million annual tax on 3.6 million satellite useres, a move the cable industry argues would create a more competitive playing field. Representatives of the satellite industry naturally disagree and are prepared to battle against a measure that may resurface sometime next year. "Satellite companies do not pay franchise fees for one simple reason," stated DirecTV Chief Executive Larry D. Hunter. "Satellite uses innovative technology that does no disrupt the public rights of way."
950f6bcd-1415-40b1-a2e8-0ea725c0d747|0|.0
Tags: