Federal Telephone Excise Tax

AAA

DEFINITION of 'Federal Telephone Excise Tax '

The federal telephone excise tax is a statutory federal tax on communications services. It is collected from a customer (of a telephone company, for instance) by the entity receiving any payment for facilities or services on which the tax is imposed.

INVESTOPEDIA EXPLAINS 'Federal Telephone Excise Tax '

An excise tax is a tax on the consumption of certain goods and services, often imposed on the quantity purchased rather that the dollar value. Other common excise taxes include gasoline and cigarette taxes. The federal telephone excise tax appears as part of a monthly telephone bill or wireless plan.

RELATED TERMS
  1. Fuel Tax Credit

    A federal subsidy that allows businesses to reduce their taxable ...
  2. Consumption Tax

    A tax on the purchase of a good or service. Consumption taxes ...
  3. Excise Tax

    1. An indirect tax charged on the sale of a particular good. ...
  4. Taxes

    An involuntary fee levied on corporations or individuals that ...
  5. Federal Communications Commission ...

    An independent U.S. government regulatory agency responsible ...
  6. Telecommunications Consumer Protection ...

    A U.S. federal law created in response to increased consumer ...
Related Articles
  1. Taxes

    Understanding The U.S. Tax Withholding System

    Understanding the origins of our tax withholding system is crucial to getting the most out of it.
  2. Taxes

    A Concise History Of Changes In U.S. Tax Law

    We look at how U.S. taxes have changed since their inception.
  3. Taxes

    Tax Withholding: Good For Government, Bad For Taxpayers

    It's important to understand where that money coming out of your paycheck goes and why - after all, you earned it.
  4. Economics

    Corporate Tax Inversion

    U.S. companies like Burger King use corporate tax inversion to take advantage of lower taxes abroad.
  5. Taxes

    What is Value-Added Tax (VAT) and who pays it?

    Learn about the definition of value-added tax, the necessary circumstances that require a business to pay it and when a business is exempt.
  6. Taxes

    What types of revenue are taxable?

    Learn about all the various types of taxable corporate revenue and how different revenues are designated and differentiated from one another.
  7. Taxes

    10 Sources Of Nontaxable Income

    Taxes are often a deterrent from investing and saving. These financial practices will bring you no tax grief.
  8. Retirement

    Discover Master Limited Partnerships

    These unique investments provide significant tax advantages.
  9. Investing Basics

    How A Company Files With The SEC

    Filing with the SEC is not as complicated as you might thing -- just be meticulous about following the steps.
  10. Investing Basics

    Do U.S. High Corporate Tax Rates Hurt Americans?

    The United States has the highest corporate tax rate of the 34 developed, free-market nations that make up the Organization for Economic Cooperation and Development (OECD).

You May Also Like

Hot Definitions
  1. Prospectus

    A formal legal document, which is required by and filed with the Securities and Exchange Commission, that provides details ...
  2. Treasury Bond - T-Bond

    A marketable, fixed-interest U.S. government debt security with a maturity of more than 10 years. Treasury bonds make interest ...
  3. Weight Of Ice, Snow Or Sleet Insurance

    Financial protection against damage caused to property by winter weather specifically, damage caused if a roof caves in because ...
  4. Weather Insurance

    A type of protection against a financial loss that may be incurred because of rain, snow, storms, wind, fog, undesirable ...
  5. Portfolio Turnover

    A measure of how frequently assets within a fund are bought and sold by the managers. Portfolio turnover is calculated by ...
  6. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, typically for the financing of accounts receivable, inventories ...
Trading Center