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This is an unofficial announcement of Commission action. Release of the full text of a Commission order constitutes official action. See MCI v. FCC. 515 F 2d 385 (D.C. Circ 1974).
FCC CHAIRMAN KENNARD DETAILS NEW TAX CERTIFICATE FOR THE AGE OF CONVERGENCE; URGES CONGRESS, INDUSTRY AND CONCERNED CITIZENS TO SUPPORT PROGRAM
FCC Chairman William E. Kennard detailed a plan to open the doors of
opportunity to women, minority and small-scale entrepreneurs across all
communications industries. As the different communications industries converge
- when phone lines carry movies, cable lines carry phone calls, and the airwaves
carry both, Chairman Kennard declared, "We can and should initiate a new tax
certificate program." He made these remarks today at a luncheon in New York
hosted by the Citizenship Education Fund. |
Kennard outlined five elements of a new tax certificate program;
 An effective tax certificate must apply not just to radio, TV and cable, but to all telecommunications businesses including wireline, wireless and satellite;Kennard encouraged Congress, industry and activists to support a new tax certificate. He emphasized the need to preserve this diversity of viewpoints to keep public debate lively and to keep the nation's democracy vibrant. He said, "Let's work together - business, Congress, experts, activists and citizens - to create a new tax incentive program that honors our most cherished values and creates a communications sector that is truly open to all Americans."
For 17 years under the original tax certificate program, if an owner of a radio or TV station sold it to a minority, the broadcaster could defer capital gains tax. In 1995 Congress ended the program.