Wednesday, January 19, 2005

TAXATION - Without Representation!

In November 2004, the FCC (the Federal Communications Commission) settled the decency complaints of thousands of consumers by deftly sweeping them into their round file. In a consent decree, Viacom (representing CBS and other subsidiaries) agreed to donate $3.5 million to the US Treasury in exchange for dropping thousands of consumer complaints filed against it by taxpayers.

Let me get this straight, we pay taxes to fund the government so the government and institute programs to improve our health and welfare; one of those programs is the FCC.

Now, from time-to-time, we write the FCC to express our opinions about how our money is spent; and from-to-time we express our opinions en mass, i.e., by the thousands. And, from time-to-time, the FCC asks for more tax money to do their job ... once in awhile they get more, sometime not.

So, when the FCC hears from us, by the thousands, we expect them to act in our interest. They do this by calling a broadcaster in to hear the complaints and pay fines if found guilty. In this case (see episode of Without a Trace here) they were found guilty and faced the loss of dozens of broadcast licenses in several markets.

The good news is that complaining works; the bad news is that the FCC doesn't.

Winners & Losers:

Winner #1: the US Treasury, which received a $3.5 million tax increase without having to go to the people for approval.
Winner #2: Viacom, who paid a fine, went back to work, and reran the offensive episode a month after the consent decree.

Loser #1: the complaining consumer, whose complaints were tossed.
Loser #2: the taxpayer, who once again was taxed without representation.


Hey, I'm a loser! Go figure?

1 comment: