This is a question that even after talking to that state is still a question.  Here in Minnesota it is clear as mud although as of November 2003 it looks as if it is taxable - maybe.  I would take it up with your tax guy and if you do not have one - get one.  To not charge when you are suppose to is a very bad thing to find out at the end of the year and to charge when not suppose to is bad as well.  Our rules state no tax if a separate line item on the bill.  Meaning if I lease the equipment and charge for the monthly service and have that as one big lum sum it is taxable.  If I line item the gear out and service out as two separate line items then only the equipment is taxable.  So depending on how you bill in Minnesota is wheter you tax or not.  Ridiculous.
----- Original Message -----
Sent: Sunday, October 26, 2003 10:55 AM
Subject: [smartBridges] Taxing Monthly Access

Who is charging state tax for monthly access fees? What should be the standard? Charge tax or don't charge tax. Here in New Mexico we have a 'gross receipts tax' and really screwed up tax laws. This gross receipts tax gets applied to almost everything. Also, should the setup fee be taxed?
 
 
Bobby Bounds
Airwave Internet, LLC

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