said by swhx7 :

Some taxes are specifically allocated to users of a government-provided services that are relate to what is taxed - for example gas taxes for roads, property taxes for schools. The relationship is never exact (e.g. residences are owned by childless people as well as parents of kids in schools), but it's close enough to seem fair to most people.

Other taxes are general-purpose and this category includes sales taxes. Internet is a service sold in the state and should be subject to state sales tax like other services (or not, if the state taxes only goods and not services).

The fact that taxpayer subsides that were supposed to build out broadband and make it faster, etc. were sucked off to profits instead, is a separate issue. Let's get rid of corporate welfare. The "last mile" should be a public utility to which telcos and cable could get wholesale access for fees to the city or state, and on which they could then offer service on a competitive basis.