Had a similar issue where a provider would slap a ~10% "FCC Regulatory 
Surcharge" (not specified in the contract) on IP transit delivered in Canada. 
We spent multiple hours trying to resolve the issues. I ended up by de-peering 
from the three letter name company. They were the only one doing this (out of 
six Tier1 providers available in the city).

I don't care about paying regulatory stuff. In some places, it's part of the 
game. I just need my providers to be transparent. If you're selling a full 10G 
of IP transit at $0.40/Mbps, I expect to receive an invoice for $4000+tx a 
month, not $4400+tx a month.
Eric
On Jan 6 2020, at 10:56 am, Siyuan Miao <avel...@misaka.io> wrote:
> I've checked my contract and there's a line:
>
> > If <redacted>’s costs to provide services to Customer increase due to 
> > reasons beyond <redacted>’s control, including annual escalations imposed 
> > by facility providers (often referred to as “Facility Cost Recovery 
> > Surcharges”), <redacted> has the right to increase the fees paid by 
> > Customer to cover such costs.
> > If any local, state, national, international, public or quasi-public 
> > governmental entity or foreign government or its political subdivision 
> > imposes any taxes (excluding taxes based on <redacted>’s net income or 
> > capital or any property taxes), fees, surcharges, or other charges or 
> > impositions on <redacted> as a result of <redacted>’s sale of Services or 
> > Customer’s use of Services, Customer shall pay any such impositions 
> > (“Additional Charges”) and indemnify <redacted> from any liability or 
> > expense associated with the Additional Charges. Taxes that arise in any 
> > jurisdiction, including, without limitation, value added, consumption, 
> > sales, use, excise, access, bypass, franchise, or other taxes, fees, 
> > duties, charges or surcharges, however designated, imposed on, incident to, 
> > or based upon the provision, sale or use of the Service.
>
> Though, I don't think it's okay to pay CRS and property tax for IPT service.
> Will try to negotiate with them again.
>
> Honestly, it's my first time to see these BS. We never have any similar 
> issues with other providers.
> On Mon, Jan 6, 2020 at 11:29 PM William Herrin <b...@herrin.us 
> (mailto:b...@herrin.us)> wrote:
> >
> >
> > On Mon, Jan 6, 2020 at 6:40 AM Siyuan Miao <avel...@misaka.io 
> > (mailto:avel...@misaka.io)> wrote:
> > > NANOG,
> > >
> > > We've recently signed contract of colocation + IP transit with a local 
> > > provider in Northern Virginia.
> > > Co-location services is okay but we found something unusual on our IP 
> > > transit invoices.
> > > - Va Personal Property Tax Recovery (1.8%)
> > > - Cost Recovery Surcharge (3%)?
> > > We've talked with our providers but they told us:
> > > > we use a tax engine that provides the taxes/rates to our services. If 
> > > > you would like further language on them, please let me know and I will 
> > > > have some one send that over.
> > > Has anyone else ran into this? If this is a legit "surcharge"?
> > > Also, IP transit isn't a property, why is there a "Property Tax" for IP 
> > > transit?
> > >
> >
> >
> > Hi Siyuan,
> >
> > If it's not written in to your contract, it's a breach of contract. Either 
> > way it's a deceitfully imposed surcharge, not a state tax. Virginia does 
> > not tax the sale of services like transit and colo. More, the only personal 
> > property tax I've heard of in Virginia is on motor vehicles.
> > Regards,
> > Bill Herrin
> >
> > --
> > William Herrin
> > b...@herrin.us (mailto:b...@herrin.us)
> >
> > https://bill.herrin.us/
> >
> >
> >
> >
> >
> >
> >
> >
> >
>
>
>

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