Best of the ISP-Lists

It's the Law

Members of the ISP-Wireless list discuss the value of a government license. Why are annual fees necessary? Is it just "another tax the average voter never hears about" or does licensing serve a purpose?

[January 6, 2001]

On the ISP-Wireless list in December, RC asked,

"How many of you are required to have a business license to sell Internet service? I find it ridiculous that anyone has to pay for the right to sell services. Factories are one thing, with environmental concerns, but Internet service?"

Many respondents contended that some regulation is a good thing:

[JM observed] "You need this license in any type of business. This is not an ISP-specific thing. A business license is something that has existed for years. You need this for several reasons. You are not getting a license to have the right to do business, you are getting it so that the government has a record of your existence for everything from tax documents to unemployment compensation, etc."

[MB offered] "I have no problem paying for a business license. I think it's $50 per year. I like it because all businesses have to register, even home businesses. I would not want the guy next door to start a toxic waste dump and not tell anyone about it."

[BL took it further] "I think ISPs should be licensed, and forced to show a level of core competency before being allowed to do business. Many people DEPEND on their Internet connection, and there are far too many clueless ISPs out there."

Others argued such regulation, any regulation, is dangerous:

[PJ begged] "Please, no more government interference. Maybe I don't know everything, but I bet I am smarter than the bureaucrat they would send to inspect me."

[GW claimed] "Licensing is a real burden. With all licensing comes licensing fees, costly paperwork, another government bureaucracy to deal with, and fees payable to the government body that oversees you. All of which equates to increased overhead, which you pass on to your customers in rate increases."

Still others suggested it makes more sense if seen as taxation, not regulation:

[RW noted] "Federal, state and local governments have the right to levy taxes. A business license is just another form of taxation, which we all love so much."

[MKS added] "We have to have a license for any business in the state of Washington. Don't matter what you do. It's just another tax that the average voter never knows about."

—End

 

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