Taxes, Fees, Assessments, etc. - Busniess Internet/Phone

[Tear Down This Wall]

Anyone else here in charge of company finances? We moved our company about six weeks ago from one area of Dallas to an area further north, but still in Dallas proper. We moved to a set of buildings that SBC said they couldn't service for internet (I still don't understand that one, but....).

So, we had the option to switch to one of two internet providers that operated in the new buildings. Today, I got the first bill and was stunned, but not surprised, by the 10 different taxes, fee, and assessments just to have the internet lines. I guess SBC used to just stick them in the package and not break them out. (Or, there were just so many damn pages to the old SBC bills - front and back - with so many different numbers I just ignored it).

But, anyway here are our taxes and fees:

Taxes and Fees Amount

Federal Excise Tax $ 0.27
911 Equalization Surcharge $ 9.44
Municipal Fee $ 12.89
State Sales Tax $ 32.01
City Sales Tax $ 4.60
Telecommunications Infrastructure Fund Reimbursement $ 2.64
TX USF Charge $ 8.50
City District Tax Charge $ 4.60
Utility Gross Receipts Assessment $ 0.20
Federal Universal Service $ 5.70

Total Taxes and Fees $ 80.85

I guess I never really stopped to ask myself, WTF is all of this stuff? Telecommunications Infrastructure Fund Reimbursement? Eh? City Sales Tax and City District Tax Charge? WTF? Plus, a Municipal Fee? Isn't a city part of the municipal?

Anyway, it's not just the national politicians that have their fingers in your pocket. The state and local people will nickel and dime you to death as well. Cockroaches.

[Vaevictis]

If you do some research, don't be suprised to find that some of that money *used* to be taxes/gov required fees that were repealed/reduced, but SBC is somehow legally pocketing the difference and keeping the cost wrapped up in the line item. Telcos have been known to do that. Often.

[Mjcpr]

I thought there were esentially no taxes assessed in the great state of Texas, only in the backwards states like Oklahoma?!

[Okla-homey]

FWIW, telephone service providers have us all over a stump. You generally have to just suck it up and pay it -- or waste valuable hours of your time contesting the charges.

[Tear Down This Wall]

I thought there were esentially no taxes assessed in the great state of Texas, only in the backwards states like Oklahoma?!

No, there's just no state income tax. Heaven help us all if the politicians in Austin ever get the green light to tax our income. When that day arrives, Texas will be California, Part II.

[Stoop Dawg]

We moved to a set of buildings that SBC said they couldn't service for internet (I still don't understand that one, but....).

SBC avoids building infrastructure in rural areas. It's less profitable.


Anyway, it's not just the national politicians that have their fingers in your pocket. The state and local people will nickel and dime you to death as well. Cockroaches.

There are generally 4 levels of taxation on every phone bill:

Federal
State
County
Local/City

What taxes are applied depends entirely upon where you are located, of course.

[Stoop Dawg]

FWIW, telephone service providers have us all over a stump. You generally have to just suck it up and pay it -- or waste valuable hours of your time contesting the charges.

Actually, for residential service, there is a minimal amount that must be paid in order to retain your service. They CANNOT disconnect you if you pay that minimum amount. They CAN take away all of your calling features, but they can't disconnect you.

I'm not entirely certain how that minimum amount is calculated.

[BajaOklahoma]

SBC avoids building infrastructure in rural areas. It's less profitable.

TDTW said the new place is north, but in Dallas proper. There is nothing rural about this area, it's all big bucks! SWB would probably love to have this coverage area.
The phone companies divided up the metroplex years ago. SWB seems to have Dallas preper, with Verizon having a huge chunk of the suburbs.

[Stoop Dawg]

Sorry, I don't know the area. However, you are correct that the RBOCs don't infringe on each other's territory. Competition is bad for the bottom line.