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Refund of Long-Distance Telephone Taxes
pertelote writes "Over 108 years after financing the Spanish American War, the tax on long-distance phone calls is finally being repealed. The IRS is supposed to refund our last three years worth of taxes for both landlines and cell phones on our returns next year. The phone companies sued because they did not want the hassle of collecting the tax. The tax is no longer in effect on 31 July, 2006." Don't get too excited about a big windfall. From the article: "Consumers, who pay about 40 percent of the taxes collected, typically pay about $18 a year in excise taxes if they have a long-distance service and a cellphone. They will be able to file for a refund on their 2006 federal income tax returns."
Is the president going to play dress-up, get into an air force uniform, land on an air craft carrier near the Straight of Gibraltar and declare the Spanish American War finally over?
My work here is dung.
The Federal Excise Tax is typically the only tax that US-based VoIP carriers charge their subscribers (if they charge any). Having help start a VoIP company myself, I never understood why other providers charged this tax. We were advised by council that VoIP is not classfied as a "telecommunications service" but rather an "information service" by the FCC, hence was not subject to the tax. Therefore we've never collected a dime in taxes (other than sales tax on equipment sales, of course). I wouldn't expect Vonage to be pocketing that extra 3%, but I wouldn't put it past some of the other companies out there.
FYI: The "Regulatory Recovery Fee" isn't a tax, it's a surcharge that carriers levy to offset the cost of having to comply with federal regulations. However, IMHO, it's a bit disingenuous for VoIP companies to charge this fee since they aren't actually regulated.
Entrepreneur : (noun), French for "unemployed"
This would be a clear cut case of fraud. Since the tax was imposed for a specific reason and obviously has not been used for that in the last 100 years or so, someone should go after the Federal Govt for fraud. Now that would be interesting.
It isnt that far fetched either, say your local community imposed an extra $20 on property taxes to be used for technology in schools and in reality it was used to buy a new Benz as a "govt vehicle" for the mayor, there would be significant problems.
The phrase "more better" is acceptable English. suck it grammar Nazis
I don't want a refund. I want my money to go toward funding the FBI teams that are going after Rep. Jefferson. I want them expanded by several hundred agents and to have what happened to Jefferson to happen to the entire Congress. You want to save money? Bush the sons of bitches who spend nearly $2B on bridges to nowhere, $1B on repairing and then moving a perfectly good railroad and all of that other pork barrel crap. Sorry, they can keep my $18/year in exchange for the FBI continuing to go after these scumbags. I'd consider that some of the best $18 I've ever spent.
Are they ever going to repeal income tax which was only supposed to be 2% max? Many of us pay over 50% in taxes if you include gas tax, sales tax, income tax, property tax, etc etc.
The only reason this is getting appealed is because it was originally for the Spanish American War (Remember the Maine!). It was a humourous enough example to get someone in Congress to actually repeal this tax.
Generally, taxes never die. So be very cautious about adding a new one.
Pennsylvania still has the "Jonestown Flood Tax". A 18% excise tax on alcohol meant to raise funds for the flood that occured in 1889 or something like that.
Except for ending slavery, the Nazis, communism, & securing American independence, war has never solved anything.
USS Maine: Blam! Glug, glug, glug.
America: WTF? Spain, can't you control your own damn harbor?!
Spain: STFU
Tomas Estrada Palma (head of Cuban Revolutionary Junta): Spain, I've got $150 million for you if you'll let us have independence.
Spain: STFU
American Democrats and Big Media: Free Cuba! Woohoo! Spain sux0rz!
Prez. McKinley and Republicans: WTF, we don't need dat shit.
Americans: Remember the Maine? Let's go kick some ass!
(April 11, 1898)
McKinley: Fine. Spain, GTFO of Cuba.
Spain: STFU
(April 25, 1898)
McKinley: No, YOU STFU! We declare war! As of... uh... 5 days ago!
Congress: Let's tax... inheritance! That oughta make us some bling-bling. Oh, and let's add one penny to the telephone bill. Only rich people have telephones, they can afford it.
(June 10, 1898)
US Marines: Ha ha, we ownz0r Guantanamo Bay! Freedom from torture for all!
(August 12, 1898)
Spain: Dios Mio! All our fleet are belong to you!
America: Yay, we win! Give us all your wine. And tapas.
Time Machine: Wowowowowow
(1982)
Congress: Let's set that war tax to 3% of the phone bill, that oughta keeps us in da bling-bling. But only until 1985.
(1984)
Congress: F Dat, we want to keep our bling-bling. At least until 1987.
(1987)
Congress: Mane, what were we thinking? Keep da bling-bling until... 1990?
(1990)
Congress: Too fun! Let's make it... permanent! Par-tee! Par-tee! Par-tee!
(2000)
Congress: That was stupid. Let's repeal the war tax.
Clinton: Ah agree. But there's nothing in this big ol' Bill (heh heh) about that edumication spendin' ah wanted. Y'see, it all depends on what the meaning o' the word "Spanish-American War Tax" is. Ah veto this Bill (heh heh, I cain't never get enough o' that joke, now come set on daddy's lap).
(2005)
Internet: Congress, you are too stupid!
Congress: Well, I guess we can try again.
Towards the Singularity.