Tax On Long Distance Phone Calls Coming To An End

Sometimes you can get what you want.

The Treasury Department announced last Thursday that it will eliminate the 3 percent excise tax on long-distance phone calls and refund about $13 billion collected from callers, the Washington Post reported.

It appears that the federal government is getting tired of defending the tax in court (via Washington Post):

“Companies have been fighting the tax in court and winning, arguing that the 3 percent excise tax should not apply to some long-distance calls. [Treasury Secretary] Snow said the government would stop fighting those taxpayers challenging the tax.”

There is even more good news:

“Individuals will be allowed to claim refunds on their 2006 tax returns, filed in 2007, for taxes paid on long-distance telephone calls since March 2003.

Taxpayers can calculate the actual taxes paid and apply for a refund, or they can claim a standard amount that will be set later by the Treasury Department and Internal Revenue Service.”

The tax will officially come to an end July 31st.

From US Libertarian Party

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Blogged under Libertarian News on Wednesday 31 May 2006 at 4:36 pm

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