Death, Taxes and VoIP

If death and taxes are the only certainties in life, it was only a matter of time before Voice over Internet Protocol (VoIP) would see increased taxes.



A few years ago the National League of Cities pushed for a raise in VoIP tax rates, having sensed a profound change in the telephony industry.

According to a report on TMCNet, VoIP is an easy target for governments which are seeking to rise revenue in these cash-stricken times.

They are already losing much of the tax income from traditional methods of telephony, which six years ago was estimated at $22 billion annually.

Although internet based services are always harder to tax, as far as regional authorities are concerned it is vital to find a way. But higher taxes will in turn mean higher prices for consumers.

2011 is the expected date for the VoIP taxes in American states such as California, so it will be interesting to see whether they slow the rapid industry growth.

However the government is banking on the fact that low cost calling via VoIP will prove as indispensable to consumers as cigarettes and alcohol.

Garrett Smith, the director of marketing and business development at VoIP Supply, said: "The market for VoIP is stable and VoIP equipment is selling strongly despite the recession. "










1 Response to "Death, Taxes and VoIP"

  1. Arturo December 18, 2010 at 4:16 AM
    http://www.commlawgroup.com/news/2010/11/17/as-federal-stimulus-dries-up,-state-taxing-authorities-may-aggressively-pursue-communications-providers-in-2011/