What are the taxes and fees? — United States

All connectivity service providers in the United States are required to comply with federal, state, and local rules covering regulatory fees and taxes. The note below is not tax advice — for specific guidance, consult a tax professional.

Federal taxes and fees

• Federal Excise Tax (FET) — A tax on telecom services at a standard federal rate
• Universal Service Fund (USF) — Supports telecom services in rural areas, for low-income consumers, and for schools and libraries. The percentage changes quarterly and applies to interstate and international revenues
• FCC Regulatory Fees — Fees charged by the Federal Communications Commission for the regulatory costs of overseeing telecom services

State taxes

• State Sales Tax — Many states impose sales tax on telecom services. Rates vary widely by state
• State Universal Service Fund (SUSF) — Some states run their own funds for underserved areas, similar to the federal USF
• Other state fees — May include 911 service fees, telecom relay service fees, and other state-specific charges

Local taxes and fees

Some local governments impose additional taxes or fees on top of state and federal charges. These vary by billing address.

What you'll see on your invoice

Taxes and fees are calculated based on your billing ZIP code and itemised on your invoice. The total amount will vary depending on your location. See My invoice is missing or incorrect if you have questions about a specific charge.

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UK taxes →What are the taxes and fees? — United Kingdom

Invoice issues →My invoice is missing or incorrect