Federal Long Distance tax ends….



I think at one point I’ve said that once taxes are put in place they tend NEVER to go away. Well, I must admit I’m wrong. 108 years ago in an effort to help finance the Spanish American War, long distance telephone taxes went into place. The tax will no longer be in effect as of July 31, 2006. Supposedly, we will be able to file for a refund of our last three years worth of long-distance taxes for land/cell phones in the 2006 tax returns. I stand corrected… once taxes are put in place they ALMOST Never go away (and if it’s for a specific purpose, it may hang around long after that purpose is completed.)


Now, I doubt there are too many people that have racked up 100′s of dollars of federal telephone tax the last three years, but…. I’m willing to bet that in order to get refunded the amount we will have to…. a) pore through long distances bills of cell phones/land lines for the last three years, b) itemize c) read another booklet of instructions with a fine tooth comb out of fear that you’ll misclaim the amount of tax in the wrong place…. and d) be immensely frustrated that several hours of research has netted you a refund of no more than $54 (assuming the average of $18 for three years…) OR a)collect all the information for your CPA b) pay them an extra $50 for the extra form to file for the refund of $54…… (Sorry – I don’t know the going rate per form – it’s probably more than that……)

Our tax system seems so silly, even when taxes end….

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