Transport Fee's (Taxes and random telecom fee's)

Faisal Imtiaz faisal at snappydsl.net
Fri Sep 14 15:15:10 UTC 2012


All Communication Circuits are subject to Communication Taxes, as per 
Tax laws of that State.

Having said that... if this communication circuit is carrying Internet 
Traffic, you can contact the Carrier and Ask them to provide you the 
forms so that you can
Claim "ITFA / ITNA Exemption" ...(if you are not in a grandfathered 
state) Google for "Internet Tax Freedom Act" and review the Wikipedia 
article for more details and history.

In regards to Dark Fiber.....
Active Circuits = i.e. circuits where signaling is provided by the 
Carrier  are considered to be Communication Circuits and are subject to 
Communication taxes, as per the State Laws.

Dark Fiber is considered to be an asset purchase .. i.e. like leasing 
Office Space/ Automobile / or Machinery... and as such the Lease 
Payments are subject to Sales Taxes only (again, details may vary from 
State to State).

Regards.

Faisal Imtiaz
Snappy Internet & Telecom
7266 SW 48 Street
Miami, Fl 33155
Tel: 305 663 5518 x 232
Helpdesk: 305 663 5518 option 2 Email: Support at Snappydsl.net

On 9/14/2012 10:29 AM, A. Pishdadi wrote:
> Hello Everyone,
>
> We purchase 10Gig waves for transport out of our datacenter and are trying
> to figure out why the taxes on the circuits are so much. We are paying
> around 60% additional in taxes and fee's on top of the cost of the circuit.
> Ofcourse when we were negotiating pricing , it seemed like a great price
> until we got our first bill, they forgot to mention that we would be paying
> such fees.
> It seems like these taxes would be for companies who would be using
> transport services for voice, but we are all data. Is there any way to get
> a tax exempt status? How come the same fee's do not apply to dark fiber? We
> are in process of getting dark fiber to replace the transport circuits but
> its going to take quite some time as we have a few more years on some of the
> contracts. The dark fiber we do have there is no taxes at all. Can anyone
> shed any light on this?
>






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