Press Release
MyWireless.org® Consumer Coalition Calls for Tax Moratorium – for both Wireless and Internet – on Tax Filing Day 2007
WASHINGTON, DC – The nationwide consumer advocacy coalition MyWireless.org® called today for “tax freeze” moratoriums to be placed on all new federal, state and local wireless and Internet taxes. Bi-partisan legislation placing moratoriums, on both wireless taxes and on Internet taxes, has been introduced in both the United States House of Representatives and in the Senate during this current session of Congress.
In 2005 and 2006, hundreds of thousands of wireless consumers across the country helped contact their Representatives and their Senators, and as a result the Internal Revenue Service (IRS) stopped collection of a 108-year old tax, the 3% Federal Excise Tax (FET) on bundled communications services, including wireless. Last year, the average tax burden placed upon America’s 235 million wireless consumers had climbed over 17% on a monthly bill, and the legislative action brought much-needed tax relief to so many Americans affected by the FET. The IRS also issued partial rebates on the FET to taxpayers during the most recent filing season.
Kimberly Kuo, Executive Director of MyWireless.org®, said, “American wireless consumers today pay over 14% on average in monthly wireless taxes, fees and surcharges, and there is no better time than the present to start relieving hundreds of millions of Americans of excessive taxes on communicating.”
“Recent polling data shows that 93% of wireless consumers are extremely happy with their wireless services and choices,” Kuo continued, “and don't want their state or the federal government meddling with regulations in a marketplace that works for them.”
“Wireless is becoming their service of choice for staying connected, but also for mobile Internet content, music, gaming, video and more,” Kuo said. “Consumers overwhelmingly want to prevent more taxes on wireless. They think they pay enough – or too much – and support policies that would prohibit more state and local taxes, or taxes on wireless Internet access,” Kuo continued. “Legislation has been introduced in 2007 in both the House and the Senate – placing tax moratoriums on both wireless and the Internet – and Tax Filing Day 2007 presents an appropriate occasion for us to call upon all wireless consumers to contact their elected officials in Washington to ask for their leadership on these important issues.”