WASHINGTON – U.S. Senator Tommy Tuberville (R-AL) joined U.S. Senator Jerry Moran (R-KS) in reintroducing legislation to amend the Internal Revenue Code to make certain that federal broadband deployment funding will not be considered taxable income.
Grants awarded to broadband providers for the purposes of broadband deployment are currently factored into a company’s income and taxed as income. This bipartisan legislation moves to exclude broadband deployment grants awarded through certain federal programs from an organization’s income, ensuring the entirety of federal dollars are awarded to companies for the purpose of deploying broadband around the country can be used for that purpose, rather than making their way back to the government through taxes.
“Rural communities are the backbone of our nation, and we want to ensure that Americans living in these communities have access to high-speed internet,” said Sen. Tuberville. “Taxing broadband grants would undermine state efforts to prioritize rural broadband expansion. I am proud to support this legislation so that those living in rural America have internet needed to run their businesses, access health care, and pursue educational opportunities.”
“Reliable, high-speed internet is more crucial than ever for Kansans to run their businesses, access telehealth or pursue and education,” said Sen. Moran. “This commonsense legislation would make certain federal grants provided for broadband deployment are not counted as taxable income to maximize the impact and success of these resources.”
U.S. Sens. Tuberville and Moran are joined by U.S. Sens. Shelley Moore Capito (R-WV), Kevin Cramer (R-ND), Deb Fischer (R-NE), Tim Kaine (D-VA), Mark Kelly (D-AZ), Angus King (I-ME), Dan Sullivan (R-AK), Mark Warner (D-VA), Raphael Warnock (D-GA), and Roger Wicker (R-MS) in cosponsoring the legislation.
Sen. Tuberville cosponsored this legislation in the 118th Congress.
Read full text of the legislation here.
Senator Tommy Tuberville represents Alabama in the United States Senate and is a member of the Senate Armed Services, Agriculture, Veterans’ Affairs, HELP, and Aging Committees.
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