The Men and the Tax Man

The IRS is about to rescind excise taxes on long distance calls and issue refunds

"Short on cash to finance the Spanish-American War in 1898, Congress targeted the then new technology of telephony for some quick battle funds. It was only temporary, Congress insisted.

The war ended at a cost of $6 billion, but the excise tax lived on to become a staple of telephone taxes, which is currently a 3 percent charge on all local and long-distance services.

Since the enactment of the excise tax, Americans have shelled out $300 billion for the program."

Every little bit helps. Communication taxes are some of the highest on any utility. Now we need to get states to act similarly. And to push for reductions on other communication services.

With hosting needs growing with SaaS, with broadband needs growing with digital content, with global trade and international calls increasing, with sensors and telemetry, telecom costs are going to continue to explode. Watching over the Men of Telecom is tough enough duty. If we have to worry less about the Tax Man, would make life a little easier.