Monday, October 13, 2014

Can You Hear Me Now? Cell Phone Taxes Growing

Can You Hear Me Now? Ohio Cell Phone Tax Lower Than Average | Watchdog Wire - Ohio:
Here’s a tax you might not typically think of: the tax on your cell phone.
It’s worth considering.
According to the Tax Foundation, four cities — Chicago, Baltimore, Omaha, and New York City—have effective tax rates in excess of 25 percent of the customer bill.
They report, on average, “Americans pay an average of 17.05 percent in combined federal, state, and local tax and fees on wireless service.
This is comprised of a 5.82 percent federal rate and an average 11.23 percent state-local tax rate.”
....“Wireless taxes and fees are regressive and have a disproportionate impact on poorer citizens,” said Scott Mackey of KSE Partners and co-author of the Tax Foundation report. “Excessive taxes and fees may reduce low-income consumers’ access to wireless service at a time when such access is critical to economic success.”
2014 cell phone tax map

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