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

Mark Keymer mark at viviotech.net
Fri Sep 14 16:53:12 UTC 2012


I had to deal with this with an upstream once that was taxing me. 
Finally got it all worked out after sending in copies of the law and 
getting the CEO involved. However a year or two later I started to get  
taxed again when the company was bought out. Had to resend copies of the 
law (Fed and State) over to them again. I also had the full conversation 
with the previous CEO so I sent that over as well as he was now a VP 
under the new company.

Do to how much of a hassle I had to go through, I am guessing they still 
keep charging tax on other clients that probably should not have been!

Sincerely,

Mark Keymer

On 9/14/2012 8:15 AM, Faisal Imtiaz wrote:
>
> 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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