The Senate on February 11, 2016, approved 75-20 the conference report on a customs reauthorization measure, the Trade Facilitation and Trade Enforcement Act of 2015 (H.R. 644), that resolves differences between House and Senate versions of the bill and makes permanent the Internet Tax Freedom Act banning taxes on Internet access, among other things.

The House approved the conference report in December, meaning today's Senate action sends the measure to the President for his signature.

Both chambers approved separate bills over the summer. The conference report adopted the House revenue provision to modify the penalty applicable to a taxpayer who fails to file a tax return within 60 days of the due date. Currently equal to the lesser of $135 (indexed for inflation) or 100% of the amount required to be shown on the return, the bill would increase the dollar threshold of the penalty to $205.

Senate consideration had been delayed by the Internet Tax Freedom Act provision, which raised concerns among senators who wanted to see the Internet tax issue combined with online sales tax legislation along the lines of the Marketplace Fairness Act. Senate Majority Leader Mitch McConnell (R-KY) said this week that he had provided assurances to supporters of the Marketplace Fairness Act "that we'll have an opportunity to consider that sometime this year." He also praised the inclusion of the Internet tax provision, which is "another tax relief measure that we've done in dribs and drabs" for a long time.

The conference report is attached.

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