Posted by Sharon Taylor on 11/26/06 8:22pm
Msg #162156

IRS Telephone Tax Refund - how to get it

Get the Telephone Tax refund -- read the official IRS website. This is available to all, but you must request the refund on your 2006 return. Standard refund will be between $30 - $60.
http://www.irs.gov/newsroom/article/0,,id=161506,00.html
You can get this by e-filing or paper filing. It is a refund of the long-distance Federal excise tax billed after February 28, 2003, and before August 1, 2006. The standard refund is based on the number of exemptions you claim on your taxes. You can claim either the standard refund or the actual tax you paid during that period. This is a separate deduction, and you don't have to itemize in order to claim it. I keep a lot of old records and probably have at least a couple of years of phone bills, and my local phone company will supply the rest of the data when I ask them for it. It's not a huge amount of money, but these days every bit counts!

Reply by Susan Fischer on 11/26/06 8:27pm
Msg #162157

Thank you, Sharon! A penny deducted is a penny earned... n/m

Reply by Gerry_VT on 11/26/06 8:48pm
Msg #162160

Note this is a refund, not a deduction.

Reply by Sharon Taylor on 11/26/06 9:26pm
Msg #162169

Actually it is a deduction from total taxes owed

This is from the website FAQ:

Will I get a separate check?
No. The telephone tax refund will be treated as a one-time payment on your 2006 return. Accordingly, it will reduce the amount you owe on your return or increase the amount of your refund.

Reply by Kimberly Kislak on 11/26/06 11:56pm
Msg #162190

Different rules apply to businesses

More information is needed for business owners to see a little more money in their pockets at tax time. Since business owners make more long distance calls than a regular taxpayer, the IRS has provided a more detailed way of taking advantage of the telephone tax refund. Consult a professional!