Washington, D.C. - U.S. Representative Charles Bass (R-NH02) voted today to eliminate the Spanish-American War telephone tax paid by every New Hampshire resident with a phone. The Second District Republican supported the Phone Tax Repeal Act (H.R. 3916) which passed the House 420-2.

“This bill would repeal an out of date tax that was enacted in 1898 to finance the Spanish-American War,” said Bass. “The war ended that same year, but the telephone tax has endured several attempts over the years to phase it out or scale it back.

“What was a luxury tax 100 years ago has become a regressive burden on one of the fastest growing sectors of our economy and hits every family in this country with a telephone including a dedicated Internet telephone line,” continued the three-term Congressman. “Repealing this bill would encourage growth in the advanced communications sectors and give all Americans a break on their phone bills.”

In 1898, the Spanish-American War telephone tax amounted to a penny on long-distance phone calls costing more than 15 cents. Over the years, Congress made it a permanent three percent tax on telecommunications services - including telephone service for consumers. This bill would reduce the tax by one percent a year, completely eliminating the tax by October 1, 2002.

“Today, taxes are higher than ever before, forcing Americans to spend more on federal, state, and local taxes than on food, clothing, and shelter combined. I want to decrease the federal budget and increase the family budget. Just about everyone has a phone, so this tax cut will go to everyone equally across the board.”

In addition to voting to repeal the outdated Spanish-American War telephone tax, Bass has voted with a majority of his colleagues this year to repeal the marriage penalty, which taxes couples simply for being married. The New Hampshire native also voted recently to extend the current Internet tax moratorium for an additional five years, through 2006, and to strip the Federal Communications Commission of the ability to impose per-minute Internet access charges.