Frequent Long Distance Callers...

Debookkeeper

Just a little heads up regarding long distance federal excise tax:

Tax Years 2006 and Later
The Internal Revenue Service announced on May 25, 2006, that it will stop collecting the federal excise tax on long-distance telephone service.

Taxpayers will be eligible to file for a credit or refund of all excise tax they have paid on long-distance service billed to them after February 28, 2003, on their 2006 federal tax returns. Interest will be paid on the credit or refund.

Further instructions on claiming the credit or refund will be provided on the 2006 federal income tax returns.

Something is better than nothing!

Mike Finley

Any idea what this adds up to? Is it $20, $200 or $2000?

Debookkeeper

Would all depend on your total long distance spent in 3 years. I believe the tax is 3%, and the refund is with interest. So it could be a whopping 108.00 plus interest for someone who averages 100.00 a month in LD. Whoo Hoo!! Like I said..... something, anything, is better than nothing! (especially from the IRS!)

Mike Finley

I'm going to be needing my skis tuned here in another month or two, that would about cover it.