What Is The Telephone Tax Refund?

The telephone tax refund is a one-time payment available (retroactively) on your 2006 federal income tax return, designed to refund previously collected federal excise taxes on long-distance or bundled services. It is available to anyone who paid such taxes on landline, wireless, or voice-over-internet service, etc. The IRS has reserved $6 Billion for these refunds. More than 50% of this reserve has still not been refunded to date.


Obtaining The Refund

TPG teams with your accounting department to gather all the necessary information in a non-intrusive manner and will prepare the appropriate claims supported by an audit ready file.  If necessary, we will meet with the IRS and provide support for the claim until a final determination letter is received.

Background

In 2006, the IRS conceded liability (Notice 2006-50) with respect to the federal telecom excise tax, and directed telecommunications carriers to cease the collection of federal excise taxes related to long distance and bundled services as of July 31, 2006. The IRS also agreed to refund these excise taxes that were collected between March 1, 2003 and July 31, 2006. TPG enables businesses to accurately recover these overpayments, including interest.

• Long Distance (at fixed per minute rates)
• Inbound Toll-Free Services  
• Cell Phone
• Blackberry Service
• LANs/WANs
• Pagers & Beepers
• Internet
• Broadband
• Voicemail
• Conference Calling
• Data-only Services

TPG’s fees for this service are contingent on and paid when our Client receives the related benefit. 

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