Reduce Mobile Fees and Taxes

LYNX Network Services will show you how to develop a plan to immediatley reduce wireless and mobile fees and taxes. American wireless users are increasingly burdened by Federal, State and Local governments for use of wireless services. Wireless costs have dropped nearly 80 percent over the last 10 years, but the typical wireless user now pays an average of 15 percent in taxes, fees and surcharges on wireless services. This is more than twice the average tax rate for other goods and services in the United States.

COMPANIES FACE AN UNFAIR AND GROWING FINANCIAL BURDEN

Wireless taxes are currently double or triple that of other goods and services. The excessive state-local tax rate on wireless service increased at a rate more than 4 times faster than the rate on other taxable goods and services between January 2003 and December 2007
Nationally, wireless users pay approximately $22 billion dollars annually in taxes and fees.
The average wireless consumer presently pays more than 15% in combined federal, state and local government taxes and fees on their monthly wireless bills. Some pay mobile taxes and fees of more than 20%.

GOALS AND OBJECTIVES

Establish the current level of fees and taxes your company pays for wireless and mobile services.
Establish and evaluate options and methods for significantly reducing current fees and taxes.
Prepare recommendations for management for reduction of these costs along with supporting basis for review by your attorneys. METHODOLOGY To achieve these goals and objectives, the following key steps must be taken:
Collect and analyze recent electronic billing from carriers for wireless and mobile services.
Analyze and specify how savings can be achieved from an operational and practical viewpoint.
Meet if necessary, to insure that proposed methods for reducing taxes and fees are approved by company legal counsel.
Prepare and submit a report to management that includes project results and recommendations. In many states, there are more than a dozen taxes and fees that carriers can and do charge to both the enterprise and retail users. Carriers are not required to list each tax or fee individually on customer invoices.

Some taxes or fees levied on carriers are authorized by law, to be charged to the customers. Other taxes and fees are levied on carriers for various aspects of their internal operations and for their own cost of dealing with the FCC and other regulatory agencies. The carriers pass these costs off to the customers to cover their own internal expenses.

We are not attorneys, but LYNX has detailed information of all taxes and fees on a state-by-state basis along with copies of key legislation and federal court decisions that IT management can provide to house counsel or outside attorneys for review, along with LYNX recommendations for legally lowering taxes and fees on mobile and wireless services. Results for most companies is a saving of 7% - 12% on their total expenditure for mobile services.