A Must Read: LA imposing VoIP Tax

Imagine imposing taxes to VoIP services about 9%. Many consumers are embracing the VoIP technology to minimize phone bills but will this tax be a drawback to the VoIP industry?

Please read this article how Steve Stanek of The Heartland Institute explains this (below is only an excerpt):

Voters also enacted a 1 percentage point reduction in the tax on all other phone calls, from 10 percent to 9 percent. Most phone calls are still made over traditional wireline or wireless phones, but Internet phone service is a rapidly growing segment of the telephone market.

Measure S appeared on the February 5 ballot in Los Angeles and won by nearly a two-thirds margin. Voters were promised if they supported Measure S, the tax money would go toward police protection.

[ read the whole article here ]