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Study: Net Neutrality Will Mean $17 Billion Tax Hike

According to a new study from the Progressive Policy Institute, President Obama's call to regulate the Internet like a public utility would mean a $17 Billion tax hike for Americans. From The Hill:

Reclassifying Web service would likely force broadband subscribers to pay extra state and local fees, as well as contribute to an FCC fund that supports communications services for poor and rural communities, schools, libraries and rural healthcare centers. That federal program, known as the Universal Service Fund, is paid for through fees on people’s phone bills.

In Delaware, bills for Comcast, Verizon, Time Warner Cable and other Internet service providers would rise by $8 per year under reclassification, the study found. The average annual cost of service in certain parts of Alaska, meanwhile, would go up by almost $148.

Since Obama and advocates have called for the new Internet rules to apply to wireless service as well as wired broadband, the fees would likely be tacked on to cellphone bills as well.


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