Verizon stops excise tax on long distance, bundles

August 2nd, 2006 - Posted in VoIP

Verizon Communications said on Tuesday it stopped collecting a 3 percent federal excise tax on monthly bills for long-distance services and those bundled with wireless and Web-based services.

Verizon said the change, effective Tuesday, follows a decision by the Internal Revenue Service (IRS).

Customers will be able to obtain a refund or credit from the IRS on their 2006 federal income tax returns, the company said.

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