jenny-april

    Why am I paying for taxes for the actual family plan plus each lines taxes!?! i don't understand that. Why am I being charge extra for the plan if I'm already paying the taxes for each individual phone.

      All replies

      • tmo_lauren

        Re: Why am paying for so much taxes?

        Hey there!

         

        Taxes don't go to T-Mobile, so they will be based on your local taxes! Taxes are going to vary largely from state to state, city to city, and sometimes even based on what police precinct you are connected to. I'm not sure where you are located, but we typically see people comment on their taxes when residing in California and Chicago as they have some of the highest wireless taxes

         

        -Lauren

          • e2k

            Re: Why am paying for so much taxes?

            tmo_lauren wrote:

             

            ...we typically see people comment on their taxes when residing in California and Chicago as they have some of the highest wireless taxes

             

            -Lauren

             

            Actually, CA is right smack in the middle in terms of taxes. It is ranked #24 or # 19 (depending on the source) in the 50 states in terms of cellular tax rates. Illinois is ranked #4 or #5. The highest taxes are in Washington. The lowest taxes are in Washington's neighbor to the south, Oregon.

             

            As tmo_lauren correctly stated, there are local (county, city, special district) taxes which also impact your effective tax rate. Many taxes are levied on both the overall service and on a per-line basis. This is commonplace.

             

            Here are a couple of websites which give estimated tax rates within each state:

             

            http://taxfoundation.org/sites/taxfoundation.org/files/docs/Wireless-Fees-2014.png

            http://www.actwireless.org/taxes-and-fees/state-tax-rankings/

             

             

            Here's a map from one of those sites. A higher ranking (i.e., a low # such as Washington State) indicates higher taxes.

             

            Wireless-Fees-2014.png