IRS to refund federal excise tax on long-distance calls

Consumers can claim a standard $30 to $60 refund next year for a tax on long-distance telephone calls that the government declared invalid, the Internal Revenue Service announced Thursday, reports SiliconValley.com via Engadget.

"Telephone customers had been paying the 3 percent federal excise tax on local and long-distance service. The government this month stopped collecting the tax on long-distance calls after businesses repeatedly fought the tax in court and won.

... The tax dates back to the late 19th century and the Spanish-American War, when telephones were a luxury and the government needed revenue."

Related articles:

-- Companies Discover It Isn't Easy to Claim Phone-Tax Refunds

-- Wireless Consumers Get Excise Tax Reprieve

-- U.S. May Stop, Refund Excise Tax On Phone Service

-- 3 Percent Fee On Cell Phones Started 107 Years Ago

emily | 8:54 AM | SMS and Government |
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