Phone taxes up 240% in two years!

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I’ve been a happy Vonage customer for years.  This tax situation is not their fault.  They’ve provided me with good service, great features, for the same price for year after year.

The government, however, is killing me.

In 2005, I paid $4.20 in taxes and “fees” per month.

In 2006, I paid $4.20 in taxes and “fees” per month.

In 2007, I paid $8.97 in taxes and “fees” per month.

In 2008, I paid  $10.10 in taxes and “fees” per month.

So, what am I getting for my extra taxes?  What am I really paying for?  I tell you that I have no real clue.  What is the real reason that my taxes went up 240% in two years?  I have no clue.  911 service?  Nope.  Vonage interfaced with the 911 service over two years ago.  These phone taxes and fees are killing me.

Kim and I have a saying: “A penny saved is two pennies earned.”  Why do we say that?  Taxes, embedded taxes, and hidden taxes. It is doubly hard to earn money than it is to save money thanks to taxes. If I can cut costs, it is a very effective way of increasing profits … within reason.

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