[governance] FW: TP: city government exercising policy on Google Applications / consumer rights / Consumer Protection Act / trial period

parminder parminder at itforchange.net
Wed Jul 13 10:22:01 EDT 2011


Phillipe (and Milton)

Everyone agrees that there is a new situation and new forms of tax 
regimes need to be worked out (while obviously means that, as you say, 
old ones are difficult to work/ enforce) .... I did not see anyone claim 
otherwise in the present discussion. However, the newness of the 
situation and need for appropriate response should not be used as an 
excuse to declare some part of our social  structure as out of bounds 
for taxes, polity and public systems. This is the sole point of 
contention in this debate. This is what Milton and Daniel seem to be 
trying to do.

Milton says 10,000 jurisdictions cannot work. He wants to keep ignoring 
the fact that Michael, who initially raised the issue, lee and I, have 
said that we should therefore work towards some kind of global agreement 
to see that is most practical as well as fair to all. Milton however 
does not come out with any alternative system of taxation and legitimate 
regulation of Internet activity while he keeps saying it is silly (BTW, 
Milton, you have said it enough number of times now) that 10000 
jurisdictions should apply. So, he, and apparently some others here, 
want to simple use this 'new situation' opportunity to declare an 
important and growing part of our social structure and systems simply 
out of bound for taxes, polity and public systems. Now, Milton, if this 
is not so, can you specially spell out what new arrangements do you 
propose that are fair and just to all (yes, including social and 
economic justice), instead of keeping on vaguely referring to new 
publics or whatever it is. You especially owe us your exact response to 
and recommendation for this new situation, including the appropriate tax 
and regulation regime, since you have been accusing Paul of 
abstractness, and saying that you will only engage if clear facts are 
referred to, and accusing some others, including me, of ducking real 
issues . So maybe it is your turn to de-abstract and mention the new 
governance regime that you propose.

Parminder



On Wednesday 13 July 2011 06:41 PM, Philippe Blanchard wrote:
> I follow-up Daniel's analysis.
> In his example, he clearly demonstrates that we are in a situation for which the classical rules based on physical territory cannot apply. Eventhough those rules proved useful, they were designed more than 200 years ago (Beaumarchais- 24 January 1732 – 18 May 1799-  worked on Intellectual property consideration and set the basis of main of our current IP laws).
>
> We all know that those rules cannot longer apply as is and the question is then  to review what is the scope that can embrace the fact we are moving, we buy "stuff " in one country to be used in another country... and when those "stuff" are intangibles, their materiality (or lack of) clearly conflicts with the classical, material rules we used to abide by.
>
> I am afraid we cannot go further if we still try to cut&paste rules that were designed hundreds of years ago to the world we now live in. Internet governance and intangibles taxation require the creation (or the mobiilization) of a meta-structure, above the national levels... And for me, it needs to be a UN-type agency.
>
> Philippe
>
>
>
> On Jul 13, 2011, at 2:53 PM, Daniel Kalchev wrote:
>
> Interesting discussion indeed.
>
> What is an application? What you pay for, when you buy software? Aren't you paying for the right to use the application? How are taxes collected on rights to use? Who is taxed -- the party that gives the right, or the party that receives the right?
>
> Does the application have physical location? Does it reside on my iPad flash storage and if it does, can I take it from there and put it in another physical place? Or does it reside "somewhere" in the Internet cloud?
>
> What if the application is web based, "resides" and "runs" somewhere, but I "use" it here?
>
> Could you also explain to me who collects taxes when:
>
> Apple in California sold me the application.
> I purchased it while in Oslo (Norvay), then used it while staying at the Frankfurt (Germany) airport and continued to use it back home in Varna (Bulgaria).
>
> Internet does not have 'place' and it also does not do anything with 'physical' objects. Both these things are the foundation of the current taxation system.
>
> Daniel
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