New York Jacks Up Cell Phones Taxes


BILL SANDERSON and AMBER SUTHERLAND
The New York Post
April 13, 2009

You can’t hang up on the taxman.

[efoods]Eleven federal, state and city levies add as much as 33 percent to the cost of New Yorkers’ cellphones, a Post analysis found.

A typical cell plan costing $49.99 a month comes with a total tax bill of $10.59 — a 21.18 percent tax rate that helps give New York the fourth-highest cellphone taxes of any state.

And cheaper plans favored by the frugal and poor are taxed at higher rates.

Someone with a $29.99 T-Mobile Basic plan with 300 minutes pays $6.95 in taxes monthly, a rate of 23.18 percent, 2 percentage points above the typical city bill.

People trying to save money with multiline family plans are hit harder.

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