From: Kent Crispin <[EMAIL PROTECTED]>
>Subject: Re: [IFWP] Re: S. 705
>
>On Sun, Jun 20, 1999 at 11:54:34PM -0400, Jay Fenello wrote:
>
>> Blah, blah, blah . . .
>
>Indeed.
>
>> The point is that ICANN is setting up an
>> arbitrary tax, while it is excluding those
>> paying the tax from any say within ICANN.
>> 
>> Can you say "Taxation without Representation?"
>
>Let me see.  I have to pay $35 to NSI to register a domain, and I 
>have no representation on the NSI board.  Taxation without 
>representation, that's what it is, all right.
>

Actually you are right. This "service fee" is not a fee in the normal
sense. For renewals all a registry has to do send a bill, nothing more. The
$35 is collectible from  captive customers, who collectively make up the
registry's only real asset, it's database.
Moreover, this registry has been granted a monopoly over the most important
TLD's, so the locked-in "taxpayer" has no more options to avoid this tax
than a US citizen has to escape from the IRS.
Cost of normal tax gathering is higher than the "cost" for a registry to
collect its "fee". 
A a government employee, you also must be aware that Uncle Sam again
happily takes its share from this 99% profit on the "fee", so all this
upset about the 1$ ICANN "tax" is actually quite misplaced.
The real tax is much higher.


>> Further, ICANN is undertaking a huge expansion in 
>> the costs of "technical administrative functions,"
>> as is its supposed function.  Remember, the IANA's
>> budget was only around $500,000, a full order of
>> magnitude (i.e. 10 *times*) less than ICANN's 
>> proposed budget.
>
>Setting up representative structures is very expensive.

In my long life I've always noticed that setting up (and maintaining!)
unrepresentative structures is even more expensive...

>
>> Finally, where are the checks and balances?
>> Who in their right mind would give the power
>> to tax to the same organization who will be 
>> spending the money.
>
>ICANN doesn't have a power to tax.  It has the power to charge a 
>fee, just like NSI does.
>
And like CORE wants to.
--Joop Teernstra LL.M.--  , bootstrap  of
the Cyberspace Association,
the constituency for Individual Domain Name Owners
http://www.idno.org

Reply via email to