We apply taxes, surcharges and government fees based on rates determined by federal, state, and local laws. Some taxes are based on a fixed amount, such as E911 charges. On the other hand, some taxes and surcharges are percentage based and may include other surcharges and government fees in the taxable base, commonly referred to as “tax on tax”. Therefore, the percentage that you see in some instances is not actually multiplied by the monthly membership you were charged.
Taxes, surcharges and government fees can vary from state to state, county to county and city to city. That being the case, we are unfortunately unable to offer an exhaustive list of all taxes, surcharges and fees that may be included in a member’s monthly service bill. Below, we have provided details for the most common taxes, fees and surcharges incurred.
Universal Service Fund (USF)
The Federal Universal Service Fund is a federal fee remitted by all carriers for the purpose of subsidizing service for high cost areas to keep them affordable, as well as supporting telecommunications services to schools and libraries. Please know that some states also impose a state USF.
Federal Compliance Fee
This fee is a Republic Wireless surcharge that helps to recover costs associated with complying with Federal regulations that provide funding for telecommunications costs for the hearing impaired.
911 and E911 Fees
These fees may be imposed by states, counties and/or cities to fund 911 operations.
Telecommunications Relay Service Surcharge (TRS)
This is a state regulatory surcharge to fund relay (deaf/disabled) services.
These are taxes based on the selling price of your service. Among these taxes are general Sales & Use Tax, Telecommunications Sales Tax, Communications Tax and a Statutory Gross Receipts Tax.
Utility Users Tax (UUT) and License Tax
These are industry-specific taxes and rates are generally determined by industry (electric, telecommunications, etc.).