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New York State Sues Sprint Over Tax Fraud

Article Comments  28  

Apr 19, 2012, 10:26 AM   by Eric M. Zeman
updated Apr 19, 2012, 12:54 PM

Updated: added response from Sprint

The New York State attorney general filed a lawsuit against Sprint Nextel today, alleging that the company deliberately failed to bill customers for $100 million worth of taxes over a seven-year period. The lawsuit is the first to be filed with New York's new False Claims Act. The state is seeking three times the amount of uncollected taxes plus unspecified penalties. New York also accused Sprint of purposely refusing to collect the taxes in order to lower the monthly bill for its services when compared to rivals AT&T and Verizon Wireless. Sprint responded, "This complaint is without merit and Sprint categorically denies the complaint's allegations. We have collected and paid over to New York every penny of sales taxes on mobile wireless services that we believe our customers owe under New York state law. With this lawsuit, the Attorney General’s office is claiming New York consumers, who already pay some of the highest wireless taxes in the country, should pay even more."

more info at Reuters »

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Subject Author Date
The big question is.... JBlaze74 Apr 19, 2012, 12:27 PM
whoever filed this Massively Apr 19, 2012, 7:12 PM
Ice berg ahead. KOL4420 Apr 19, 2012, 11:51 AM
 
 
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