Support Center

VoIP Tax FAQs

Last Updated: Apr 19, 2017 10:45AM EDT
What are the VoIP tax rates?

There are different programs VoIP service providers put in place that have an effect on the amount of taxes companies will be charged. Sharpen has developed an approach for clients to ensure that we, along with our vendors and partners, are all in complete compliance with the new tax laws.

Typically, clients should expect a charge just under $1.65 per extension on their network. As you look at your invoices and the addition of the tax line item appearing, the number should reflect an additional charge of $1.65/extension on average for each of our clients.


Why is VoIP taxed?

The classification of telecommunication tax law has been expanded and requires all VoIP Phone Service to be subject to the same telecom taxes as every other VoIP provider. Meaning, Sharpen is required to to include federally mandated taxes to all of our invoices.

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There are ways to voice your opinion if you too feel like VoIP service should not be subject to these taxes. If you have additional questions about these taxes please leave a comment or contact our billing team at billing@sharpencx.com.

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