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California Considers Text Messaging Tax To Fund Cell Service For Low-Income Residents (thehill.com)

According to a report from the California Public Utilities Commission (CPUC), California may soon tax text messaging to help fund programs that make phone service available for low-income residents. The report says the tax would likely be a flat fee added to a monthly bill instead of a per text tax. The Hill reports: The report outlines the shrinking revenue coming from a current tax on the telecommunications industry and argues that a new tax on text messaging should be put in place to make up for it. "From a consumer's point of view, surcharges may be a wash, because if more surcharge revenues come from texting services, less would be needed from voice services," CPUC spokeswoman Constance Gordon said in a statement. "Generally, those consumers who create greater texting revenues may pay a bit more, whereas consumers using more voice services may pay less." "Parties supporting the collection of surcharges on text messaging revenue argue that it will help preserve and advance universal service by increasing the revenue base upon which Public Purpose Programs rely. We agree," the report states. The CTIA, a trade association representing major carriers in the wireless industry, says the tax is anti-competitive and would put carriers at a disadvantage against social media messaging apps from tech companies such as Google and Facebook. The CPUC is expected to vote on the proposal in January 2019.

3 of 244 comments (clear)

  1. Better idea by grasshoppa · · Score: 5, Funny

    Let's tax every stupid idea a politician has. 1 cent per.

    We'd be able to pay off the national debt before the end of the year.

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    Mod me down with all of your hatred and your journey towards the dark side will be complete!
  2. subsidizing? wtf by ahodgson · · Score: 5, Insightful

    You can have a prepaid cell in California for $12/month. No one needs subsidizing. End the subsidizing and you don't need a new tax. ffs.

    1. Re: subsidizing? wtf by misnohmer · · Score: 5, Insightful

      Remember, every government program is an opportunity for people to skim, grant contracts to friends and family or for kickbacks in one form or another. Maybe you have a family member who needs a job, why not hire them to administer some new program and of course pay for the job it of the same pool of taxes collected for that program.