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FCC to Possibly Implement Tax on Landline and Mobile Phones
Tag:N97 wifi TV phone    Date:2011/3/16

For all consumers who are glued to their cell phones or home phones, the costs associated with owning the most technologically advanced mobiles to cater to

all our social media, calling and Internet needs, are inevitable.

Well, now, rumors have surfaced on the Oregon Business Report stating that taxes may possibly increase on landline and cell phones, in efforts to include

broadband Internet. As part of the FCC's plans to take on the proposed National Broadband Plan, consumers may now have to take on a few extra charges in

efforts to get the high speed service on their devices.

Estimating nearly $350 billion for the broadband plan, the FCC plans to tax all types of telecom service, including Internet service, and use this pool of

money to subsidize the cost of broadband, which will "pay for itself," reports have said.

According to the Universal Service Fund, or "USF," tax rate, if in fact the FCC does move onward with this initiative, consumers will be taxed a minimum of

15.3 percent of a cell phone bill, in efforts to eventually cap the amount people are taxed to conserve financial burden.

However, the taxation is already raising quite a few red flags. With President Obama increasing the USF tax rate by 61 percent since he took office, this new

FCC taxing system, if implemented, could really hinder the ability of those struggling financially to continue using cell phone and landline services.