New at Reason

Tim Cavanaugh | May 10, 2005

Why would Asian bankers cut off their noses to spite our face? What gives local governments the right to tax cell phone usage? And where are those Tantalizing Tunnels of Kim Jong Il's? All of life's big questions get asked, though not necessarily answered, in Reason Express.

Comments

|5.11.05 @ 8:15AM|#

"As a result, some jurisdictions are raking in millions with 10-15 percent levies on cell phone bills. Add in the 6.05 percent federal excise tax, and the total tax burden on cell users in some states tops 20 percent. In both New York and Florida, cell users pay an incredible 22 percent in taxes on cell use, use that imposes no special impact on state or local services."

Government, pass up a chance to tax the fuck out of the populace? Joo mus be jokink! They already had established an accepted practice of taxing telephone service---and I'd be willing to bet that the landline-heavy bells lobby hard to get states and localities to levy the same taxes on mobile providers as they do on them...so that they don't get any sort of competitive advantage. Same ol' rent-seeking bullshit.

Though, I'm sure, if pressed, the beauroc.rats could come up with some convoluted excuse, like, um, "the big nasty cellphone towers negatively impact the 'public' viewshed." Or, how about, "We need money. Cellphone users have money. The solution is obvious!"

Personally, I've always been curious as to how my county would justify the big chunk I see taken out of my phone bill every month. It always seemed like the only thing they'd be able to say in response is, "if you're doin' something, then we'll tax it!", which pretty much describes the rationale behind most of this country's convoluted tax code.

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