As the US prepares to struggle with multi-trillion dollar debts, an influential group of lawmakers has proposed levying a tax on all Internet and data connections.

Congressmen on a tax committee have suggested extending an anachronistic three per cent telecommunications tax (dating from 1898), to cover all data communications services to end users. The proposals include broadband, dial-up, fibre, mobile, DSL and other connections, according to CNet

The lawmen point to the gradual decline of fixed telephony lines as evidence that the tax should be directed to reflect current consumer habits, pointing out future expected growth in voice-over-IP services.