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One Time Federal Excise Tax Credit for 2006

Posted by BobWms on 7th December 2006

Rural readers of this blog will be interested to know that you’ll be able to apply for a one time tax credit this year.
On May 25, 2006, the Internal Revenue Service (“IRS”) announced that it would stop collecting the federal excise tax on long-distance telephone service charges that are purely time based. Notice 2006-50 reverses the once defiant position of the IRS and states that taxpayers will no longer be required to pay a tax on charges for long-distance telephone service that are based solely on the amount of time for the phone call.

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