Am I the Only One Outraged at Telephone Taxes and Fees?

5/13/06 | Let's Roll

[Let's Roll]

The taxes/"fees" on my telephone service just went up ...again.

Am I the only one who finds an 80% (79.483) tax just a shade outrageous?

Any links to groups fighting this extortion would be appreciated.

[Lurker]

Do you have some kind of problem with funding the War effort? The Spanish-American War that is.

Apparently we're still fighting it. At least we're still paying one of the taxes enacted to fund it. (That was NOT a remark about illegal immigration)

L

[MineralMan]

To what portion of your telephone bill does this 80% tax apply? You don't provide much information, so it's difficult to assess the situation.

[newgeezer]

http://www.fcc.gov/cgb/phonebills/samplePhonebill.html

[Mears]

There are various taxes since divestiture,but some people never paid the "war tax",which was 5%.

They withheld it when they paid the bill,the telco adjusted it and forwarded the info to the government. Whether the feds ever tried to collect it--I don't know.

We are being taxed to death.

[Let's Roll]

All taxing "entities" - city, state, federal are taking cuts for various "reasons".

Services total c. $20 - taxes/fees are over $16.

IMO picking over exactly what it applies to and where it goes is what has allowed them to get away with this for so long. The bottom line is what matters to me.

[Dan Nunn]

There is competition and you are welcome to use it.

Many people are using cellular phones as their primary contact method now. If that is not an option, in some areas, cable companies are now providing VOIP telephone solutions. If your cable company is not, and you have high-speed internet, check out Vonage.

[janetgreen]

I have called and complained repeatedly, and all the phone companies will say is "we have no control over those taxes because the taxes are demanded by the state and federal government".

Sometimes the taxes are almost as high as the bill itself. The "state" and "federal" government agencies don't care, they want the money and will take it no matter how unfair it is. It will take a revolt to be able to stop paying for the Spanish-American war! Our gubmint at work.

[Morgan in Denver]

Not mine. I switched to VOiP. If you have high speed, consider it. On a bill of $19.99, I pay less than $2.50 in taxes and fees. I use ATT but there are others doing the same thing. Of course, once the politicians get into it I'm sure that will change. For now, I'll enjoy the lower costs and better services.

[goldstategop]

This is news? We pay taxes from the day we're born right up to the day we die. Its part of the price for civilization.

(Denny Crane: "Every one should carry a gun strapped to their waist. We need more - not less guns.")

[Gay State Conservative]

Telephone,cable and electric service are juicy sources of revenue for Federal,state and local politicians.In Massachusetts,we have a tax on phone service which helps those less fortunate than me to get phone service for just about nothing.

Quite frankly,I could give a rat's hindquarters if someone down the street from me doesn't have a phone.

[Vinnie]

And my favorite, the Al Gore Tax.
(enacted by Vice-Presidental decree.)

Something like 10% of your long distance bill to wire the schools to his internet.

[theDentist]

another 'hello' from Al Gore

[Morgan in Denver]

http://www.usa.att.com/callvantage/index.jsp?

ATT has one, Vonage another, and Qwest is getting into it as well. Compare prices and the services you want.

[Gay State Conservative]

Not mine. I switched to VOiP.

I've read that the Baby Bells (Verizon,etc) are trying to shut down VOIP.It appears that they're trying to use some law that's already on the books to accomplish this.

Given their power,money and influence,I wouldn't bet the farm that their effort will fail.

[operation clinton cleanup]

My local company charges $25 per month for the most basic service. I just got Vonage for $15 per month and 500 minutes anywhere calling. Of course you have to have a broadband connection.

[Morgan in Denver]

Yeah, and Ms. Hillary is promising to connect every community with highspeed internet services once she's elected president.

[Morgan in Denver]

Interesting. I had not heard that but it does not surprise me. Stopping government is a neverending deal.

[Glenn]

There is no federal or state tax on Paxil. It'll change your life.

[Morgan in Denver]

I added up all communication costs: phone, internet, long distance, TV, etc. By switching to VOiP and getting high speed access, I was able to drop one phone line and saved enough overall dollars to justify buying a cell phone.

Only point being, add it all up and see what's available.

[MineralMan]

Yeah, I'm a bottom line sorta guy myself. The phone bill comes in, and I pay the bottom line. I get to make calls and receive calls.

I have not examined a phone bill in a long time. I don't stress over $16...not ever.

There are important issues out there to work on. My phone bill and whatever taxes are levied on it are not among those issues.

But, go for it, if you wish.

[Diana in Wisconsin]

"I have called and complained repeatedly, and all the phone companies will say is 'we have no control over those taxes because the taxes are demanded by the state and federal government.'"

And they're not lying when they tell you that. I used to work for a small, locally owned Phone Company. One of my tasks was to read REAMS of reports each month and sort out the taxes from the actual consumer costs for the services provided and then cut the checks accordingly.

This was before things like this were automated, of course, but there were many days when I would've welcomed a quick bullet to the back of the head while I sorted out all that cr@p, LOL!

The phone situation is no different than all the various taxes we pay on a gallon of gasoline, too.

Our only options are to continually harrass our CongressCritters, or cut our consumption of products that we feel are taxed too much...gasoline, phone service, cable/satelite TV, ciggies, booze, etc. Consumer beware. ;)

[Hillarys Gate Cult]

Not really my most favorite war. If we quit paying would they repo it?

[BW2221]

I find communications taxes much more objectionable than gas taxes. At least gas taxes go toward building and/or repairing roads.

What services does the government provide in conjunction with communications taxes?

[newgeezer]

If you're truly interested in what those taxes are and why they're there, here's a better link than the one I posted previously:

http://www.fcc.gov/cgb/consumerfacts/charges.html

You see, nothing comes for free. If you're paying "80%" it's because some of the taxes are not assessed as a percentage of your bill but, rather, as a fixed fee. For example, the cost of making 911 service available to you is a fixed fee for everyone who has a phone (and IMO, that's how it should be).

[jdm]

I gist use these instead.

"Apparently you didn't hear me: I SAID 'I am NOT a RINO, beeeyotch!!!!'"

[deport]

Am I the only one who finds an 80% (79.483) tax just a shade outrageous?

---

Guess I don't fly in the high cotton. My total taxes/fees on my cell phone account with three numbers is less than 20%

[spudsmaki]

Hey, look at the First Class Stamp. The last 2 cent bunp went straight into the general treasury, a very first. First Class will go up another 2 cents April 2007, again for general treasury expenditures. At 37 cents the USPS was throwing off cash.

This is a first for the country, using stamp revenue as a general tax. And who did it? Generalissimo Jorge Dos, conservatissimo.

You're gonna be reeeeeeeeeeally mad when you find out elder services have been chopped. Experience Works (the old Green Thumb) was cut, they're firing the elderly like mad. It's welfare for the retired elderly, sure, but at least they had to show up. And no managers were cut.

[lrb111]

http://www.sunrocket.com/

They send the gizmom and they had a deal where we got a pair of nice wireless phones. One annual payment of $199, period. Free long distance to all the US, Canada, Puerta Rico, and Mexico too,
iirc.

[ClaireSolt]

Telephone taxes are excise taxes levied on the basis that originally phones were luxuries. Opponents of the Spanish American war tax have won seven times in courts according to the WSJ. It is about to be a thing of the past because it taxes single calls and not the calling plans we use now.

If you do the math, you will find out these taxes take a bigger bite than the $1.40/mo the ave consumer is paying for higher priced gas. But, after all that caterwalling, who wants to hear about it?

[Lurker]

Looks to me like they already are.

L

[Paladin2]

I have "digital" dialing and my taxes/surcharges/fees are well over 100%!. It's a joke.

[Let's Roll]

Does $20 worth of services sound like "high cotton" to you?

[gondramB]

Because I have a cable modem I use a voice over IP service from Broadvoice. It costs $10 a month and inlcudes local calls and long distance within the state. Long distance outside the state is 2 cents a minute. It includes voice mail, call waiting, three way calling, call forwarding etc.

The knock on Broadvoice is iffy customer server - we picked it based on price but there are competitors that cost a bit more and have better customer service.

[newgeezer]

What services does the government provide in conjunction with communications taxes?

See and judge for yourself:

http://www.fcc.gov/cgb/consumerfacts/charges.html

[Morgan in Denver]

I ended up buying T-Mobile and it was similar to what you suggest. The first year was good, about what you paid. But it appears this year is going to cost me a whopping $25 for the whole year. I had leftover minutes from the original purchase and the $25 paid for another years service in addition to a few more minutes.

Yours or mine, there are deals out there if someone looks around. Like you, I feel like I'm beating the "system" for now.

[lonedawg]

Where are you geting a phone for $16.00?

[MineralMan]

"Where are you geting a phone for $16.00?

"

That was the amount of the tax the guy said he pays. I spend $49/mo. for unlimited use of my telephone. Are there taxes in there? No doubt. How much are they? I have no idea. I just use the phone.

[I still care]

My DSL and phone bill come to $50 before taxes and fees. After they they are more than $80. It's really frustrating.

[Snoopers-868th]

For example, the cost of making 911 service available to you is a fixed fee for everyone who has a phone (and IMO, that's how it should be).

I have a scanner and listen to the calls and IMO 911 service is way toooo often used as a taxi cab rather than for emergencies. 911 should be no different than the old ambulance service. If it isn't a life and death situation get in the car and get yourself to emergency otherwise pay the cost of the 911 call. The 911 service in our area was voted down and our local governments put it into effect anyway charging all who had phones the fee. I still can't figure out why it was put to a vote since it was enacted anyway.

[jdm]

"My DSL and phone bill come to $50 before taxes and fees. After they they are more than $80. It's really frustrating."

You're not alone. I have SBC and mine is around $80 too.

[Rebelbase]

Can't changes the taxes but you can lower your phone bill. Most phone carriers have a customer retension plan they will place you in if you call and threaten to change carriers for a lower rate.

[Baynative]

Algore's internet tax for plugging in the schools is $1.18 every month on every phone, fax, cell phone, pager and answering gizmo. It has been in place since 1996. We have 300 million folks in the US with (according to Forbes) 3.2 phones each. That's a lot of $1.18's per month every year for 10 years.

It seems to me those schools should be wired by now. Hell it's only a damn phone line.

[Rebelbase]

"I have not examined a phone bill in a long time. I don't stress over $16...not ever"

Where are you posting from, 1975?

[JasonC]

Yes it is silly, but my solution is simple - I do not have a land-line phone. I have an ISP.

[MineralMan]

"Where are you posting from, 1975?
"

See my #38.

[bennowens]

Fire your land line phone and use vonage. It was a very satisfying feeling when I unpluged the house line from the Bellsouth box.

[JasonC]

$1.40 a month for gas? What, on a moped on sundays? Try an extra $50 a month. Not counting higher heating bills in winter.

[Popman]

(That was NOT a remark about illegal immigration)

LOL

It's pretty pathetic you need a disclaimer!!!

[steve86]

Vonage didn't have a number in our local toll area but Packet-8 did. After some quality problems early on things are quite satisfactory now. My total monthly bill, including several half-hour calls to India tends to be around $29, including taxes. No extra charge for Caller ID, voicemail, etc., and E-911 is fully implemented. Just one month's savings paid for a UPS for my equipment.