Take the Federal Excise Tax Refund Credit

Filed in archive Taxes on December 12, 2006

For my US readers, make sure you remember to take the federal Excise Tax credit on your 2006 tax return. Not a lot of money for individuals but for businesses that spend a lot on long distance it might add up. Because anytime you get tax money back is a good thing who knows when it will happen again?

The IRS has now conceded that the tax should not be charged. As of August 30, 2006, telephone companies are supposed to no longer assess the excise tax.

And, we all get a credit (assuming we had long distance service) on our 2006 tax returns as restitution. This refund applies to individuals and also to businesses.

Businesses have to calculate a formula using form 8913, to determine the amount of the credit due them. The amounts may vary based on the size of the business. Sole proprietors alternatively may take the standard amounts... Via Facteon Blog