Proposed Bill to Protect Consumers from Cell Phone Taxes

By

If U.S. Senators Ron Wyden (D-Ore.) and Olympia Snowe (R- Maine) get their way, consumers won’t have to contend with new taxes on their cell phone bill. For the third Congressional session, these Senators have introduced legislation, dubbed the Wireless Tax Fairness Act of 2011, in the Senate to prohibit states from imposing any new discriminatory taxes on wireless goods and services for five years. A companion bill in the House of Representatives was also introduced by Reps. Zoe Lofgren (D-Calif.) and Trent Franks (R-Ariz.).

That’s good news to many cell phone enthusiasts, given that during the years 2003 to 2007 the mobile industry saw their effective tax rates increase four times faster than other taxable goods and services. The average tax rate for taxable goods and services is 7.07 percent; however, the average tax rate for mobile goods and services is 15.9 percent, according a press release from Senator Wyden. The legislation has the endorsement of Cellular Telecommunications Industry Association and the support of the wireless industry.

 “The current landscape of excessive and discriminatory taxes on wireless services discourages its adoption and use, especially with lower income families.” said Senator Snowe, in a statement. “As wireless communications become a necessity for families and businesses nationwide, it is imperative wireless consumers are protected from the burdens of exorbitant fees, surcharges, and general business taxes.  I am pleased to join Senator Wyden in re-introducing the Mobile Wireless Tax Fairness Act of 2011 Act to protect this growing and innovative industry, as well as the consumers it serves, from excessive and onerous government tax rates.”

hearing for the bill is scheduled for tomorrow before a House Judiciary subcommittee.




Edited by Tammy Wolf

TechZone360 Contributing Editor

SHARE THIS ARTICLE
Related Articles

Coding and Invention Made Fun

By: Special Guest    10/12/2018

SAM is a series of kits that integrates hardware and software with the Internet. Combining wireless building blocks composed of sensors and actors con…

Read More

Facebook Marketplace Now Leverages AI

By: Paula Bernier    10/3/2018

Artificial intelligence is changing the way businesses interact with customers. Facebook's announcement this week is just another example of how this …

Read More

Oct. 17 Webinar to Address Apache Spark Benefits, Tools

By: Paula Bernier    10/2/2018

In the upcoming webinar "Apache Spark: The New Enterprise Backbone for ETL, Batch and Real-time Streaming," industry experts will offer details on clo…

Read More

It's Black and White: Cybercriminals Are Spending 10x More Than Enterprises to Control, Disrupt and Steal

By: Cynthia S. Artin    9/26/2018

In a stunning new report by Carbon Black, "Hacking, Escalating Attacks and The Role of Threat Hunting" the company revealed that 92% of UK companies s…

Read More

6 Challenges of 5G, and the 9 Pillars of Assurance Strategy

By: Special Guest    9/17/2018

To make 5G possible, everything will change. The 5G network will involve new antennas and chipsets, new architectures, new KPIs, new vendors, cloud di…

Read More