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Replies to reporter about Earthlink levying additional fees



Previous Politech message:
http://www.politechbot.com/p-04805.html

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Date: Wed, 4 Jun 2003 08:00:28 -0400 (EDT)
From: Scott  Bradner <sob@harvard.edu>
To: declan@well.com
Subject: Re: FC: Query from reporter about Earthlink levying additional fees
Cc: JJCook@tribune.com
In-Reply-To: <5.2.1.1.0.20030603230830.0413fe98@mail.well.com>

 > I was hoping you or one of
 > your readers might be able to explain this e-mail I got from Earthlink, my


see http://famulus.msnbc.com/famulusgen/cnet06-03-163501a.asp?t=CNTEK

Scott

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From: "D McOwen" <dmcowen@bellsouth.net>
To: <declan@well.com>, <politech@politechbot.com>
Cc: <JJCook@tribune.com>
Subject: RE: Query from reporter about Earthlink levying additional fees
Date: Wed, 4 Jun 2003 23:12:04 -0400
Message-ID: <NCBBLLCKEFIGAFOKNBDLMELODKAA.dmcowen@bellsouth.net>


http://www.businessweek.com/technology/cnet/stories/1012879.htm
By Jim Hu, Staff Writer, CNET News.com


Earthlink ADSL Tax Table

http://support.earthlink.net/mu/1/psc/img/walkthroughs/other/taxbilling/8233.psc.html

ADSL Tax Table
Resolution ID: 8233
----------------------------------------------------------------------------
----
Question

What are the taxes and/or fees that will be applied to my EarthLink bill?

Answer

Below are the estimated total monthly taxes and/or fees that will be applied
to your EarthLink bill.

These amounts include the state and local taxes and/or fees as well as the
recovery of Universal Service Fund fees, and are subject to change.
Taxes and fees applied to your bill are calculated using the address we
currently have on file for you.
Amounts are based on a monthly charge of $49.95 for DSL service.
State Minimum Maximum
Alabama $2.58 $2.58
Alaska $0.66 $2.90
Arizona $2.46 $3.90
Arkansas $0.66 $0.66
California $0.66 $0.66
Colorado $0.66 $0.66
Connecticut $2.58 $2.58
District of Columbia $0.66 $0.66
Delaware $0.66 $0.66
Florida $1.42 $3.70
Georgia $0.66 $0.66
Hawaii $1.94 $1.94
Illinois $3.06 $5.30
Indiana $1.11 $1.11
Kansas $2.36 $3.32
Kentucky $0.66 $2.58
Louisiana $1.62 $1.62
Maine $0.66 $0.66
Maryland $0.66 $0.66
Massachusetts $0.66 $2.26
Michigan $0.66 $0.66
Minnesota $2.74 $2.74
Mississippi $2.90 $2.90
Missouri $2.18 $3.34
Nevada $0.66 $0.66
New Hampshire $2.90 $2.90
New Jersey $2.58 $2.58
New Mexico $2.79 $4.28
New York $1.46 $2.41
North Carolina $2.58 $2.58
Ohio $0.66 $0.66
Oklahoma $0.66 $0.66
Oregon $0.66 $0.66
Pennsylvania $0.66 $2.90
Rhode Island $4.50 $4.50
South Carolina $2.26 $2.90
Tennessee $4.41 $4.91
Texas $2.66 $3.30
Utah $0.66 $0.66
Vermont $0.66 $0.66
Virginia $0.66 $0.66
Washington $2.90 $3.51
West Virginia $0.66 $0.66
Wisconsin $3.16 $3.66

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From: "Jim Harper" <jim.harper@policycounsel.com>
To: <declan@well.com>
Cc: <JJCook@tribune.com>
Subject: RE: Query from reporter about Earthlink levying additional fees
Date: Wed, 4 Jun 2003 09:33:55 -0400

Here's the deal on Earthlink passing through taxes:
http://news.com.com/2100-1038_3-1012879.html

I hope everyone knows that taxes are usually passed on to consumers, even if
not explicitly.

In relevant news, a U.S. House Judiciary Subcommittee approved H.R. 49, the
"Internet Tax Nondiscrimination Act" on May 22.  It would permanently extend
the existing ban on multiple or discriminatory taxes. It would also
terminate the grandfathering of access taxes that existed in 1998, which is
what probably allows the taxes queried about by Mr. Cook.

Jim Harper
PolicyCounsel.Com

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Date: Wed, 04 Jun 2003 00:35:56 -0700
From: Graham Freeman <graham@jahiel.net>
To: declan@well.com
cc: JJCook@tribune.com
Subject: Re: FC: Query from reporter about Earthlink levying additional fees

The "taxes" bit is probably the Federal Universal Service Fee (FUSF), which 
is billed to ISPs by the ILECs (such as Verizon and SBC) and CLECs (such as 
Covad).  Some ISPs are choosing to itemize these costs rather than include 
it in their advertised prices.  You're probably seeing action now (rather 
than before) in part because the FCC recently issued a ruling which fixed 
the rate at a specific percentage (9.1%) as well as other things that I 
don't completely understand, but in any event motivated the LECs to change 
the way they recover these taxes, which in turn motivated various ISPs to 
change the way they bill.

Contact an Internet Service Providers' association for info from their 
perspective, see <http://www.speakeasy.net/low/main.php?page=res_fusf> for 
a barebones explanation, or check the FCC web site for more hard-to-digest 
information than you can shake a stick at.

There's a basic explanation of FUSF (at this URL: 
<http://www.fcc.gov/wcb/universal_service/welcome.html>

Graham Freeman
http://www.jahiel.net/projects/solarwap


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Date: Wed, 04 Jun 2003 05:15:34 -0600
To: declan@well.com, politech@politechbot.com
From: Charles Oriez <coriez@oriez.org>
Subject: Re: FC: Query from reporter about Earthlink levying additional
   fees
Cc: "Cook, John J." <JJCook@tribune.com>

It appears that some locales are deciding to go after taxes that didn't 
before. It could be a function of the struggling economy.

http://coop.net/press_room/tax.php

Coop.net is one of the major backbone providers in Colorado.  The Peoples 
Republic of Boulder wants $170,644.35 in back taxes from them.  Since coop 
provides connectivity to a significant percentage of the industry in 
Colorado, this could have a significant impact on all of us unless they win 
their appeal or choose to move their facility, and jobs, out of Boulder.


Charles Oriez     coriez@oriez.org
39  34' 34.4"N / 105 00' 06.3"W
**
"Oh come now.  At least pretend to be scared.  The media spent millions 
trying to psyche you up for this" - User Friendly, 08/01/01 on the Code Red 
virus scare

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X-Sender: rgm-int@localhost
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Date: Wed, 04 Jun 2003 08:50:45 -0400
To: declan@well.com
From: Robert Moskowitz <rgm-int@htt-consult.com>
Subject: Re: FC: Query from reporter about Earthlink levying additional
   fees
In-Reply-To: <5.2.1.1.0.20030603230830.0413fe98@mail.well.com>

DSL.NET added taxes to my subscription long ago.

The way I recall it, the RBOCs cried foul that they had to charge taxes, 
but the ILEC DSL providers did not.  The RBOCs won and now I have to pay 
taxes....


---

Declan,

I got the same notice from Earthlink so I went on a little google-hunt.

I think that this might be the result of a project called the
Streamlined Sales Tax Project.

Here's their homepage:  http://www.streamlinedsalestax.org/

It seems to be meeting with some success.  Here's where you can track
which states have adopted the legislation:
http://www.ncsl.org/programs/press/2003/political01.htm

I'm attaching the pdf of the language proposed by the SSTP project since
it's only 290K.

Hopefully Mr.Cook or yourself can take it from here.

(Please suppress my email address...I actually remembered to put
CONFIDENTIAL in the subject line!  ;)




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