IRS Seeks to Repeal Cell Phone Tax Law
Last week, the Internal Revenue Service sought pubic comments on the idea of taxing personal use of cell phones that are provided by employers. Due to the highly negative response from both employees and business owners, the IRS has now changed its mind and decided to repeal the tax altogether. IRS Commissioner Doug Shulman said, "The passage of time, advances in technology, and the nature of communication in the modern workplace have rendered this law obsolete." Businesses and employees alike believed that sorting out business use versus personal use on cell phone bills would be overly burdensome to all involved. The IRS is recommending that congress repeal the law.
Here's how it would have worked...
For instance, I am on a VZW agent demo line. I pay $15 a month for 1500 minutes, unlimited txt, 300 pix, free ringback tones, and 50% off all my data. I change devices and features all the time, but my bill usually runs about $30, and after taxes I pay about $35 a month, so $5 in taxes.
Now a comparable Verizon plan would be $99.99 for 1350 minutes and unlimited txt, $.99 for RBT, $44.99 for blackberry (never mind that I could get away with the $29.99 plan), $10 for VZNavigator, and $15 for VCAST W/Rhapsody. That's a total of $1...
Pubic comments? LMAO!!
Pubic comments!!!! LOL
This law would really suck for those of us who work for certain companies and have company issued phones, since 25% of the usage would have to be reported as personal income. Lame!
I fought the law...
My Feet Are Cold