Now California wants to tax satellite TV!

[dlsnyder]

Looks like California is trying to get a tax on satellite TV into the new budget. Here is a news item from MSNBC (http://famulus.msnbc.com/famuluscom/businesswire08-09-172625.asp?sym=GMH)

[James_F]

Whats the problem? California wants to tax everything... :D Problem is if they do it, New England isn't far behind, then everyone else... :(

[dlsnyder]

Doesn't Arizona tax satellite TV? There are only a few states that currently do but their number, sadly, is growing.

[James_F]

Not until December 31, 2002...

[jrjcd]

pull out the fake address catalog again...sigh...

[Steve Mehs]

Anybody have a full list of the states with DBS taxes? Thanks

[Jacob S]

That should be one thing that is posted on here along with the other information, along with the percentage charged.

I wonder how long it will be before the Universal Fund and other government taxes come along as well. Reminds me of cable and phone bills that have all these extra charges.

[Steve Mehs]

Exactly Jacob! I have an update set for the Package Comparison Chart for the homepage, but I wanna make a side note on it for states with taxes before I send the file to Chris. Good thinking about the %, I didnt think of that.

[James_F]

Here is the Arizona Bill...

http://www.azleg.state.az.us/legtext/45leg/2r/bills/sb1062s.htm

Looks like 5% here... :(

[dlsnyder]

Doesn't the sales tax law in California only permit taxation of goods? I thought services were exempt, unless satellite televison is being classified as a utility. I could really almost see them justifying taxation of DirecTV service on their California customers because they are based in California. Other than that what burden do they put on state infrastructure?

[Rifleman]

The whole thing isn't surprising.. The thought of a spent dollar escaping taxation drives state governments crazy, what with widespread deficits and the pressure on state governments to provide ever more programs..

I'm glad I don't smoke, and I feel sorry for those that do.. They should be wearing signs like "cash cow"

[Mark Holtz]

[This may be partially political, please bear with me]

Without reading the article.... we need to put this in the proper context.....

The State of California is faving a MASSIVE revenue shortfall, partially due to the stock market falling and the resulting decrease in captail gains tax, and partially because of the long-term power deals that the governor signed during the power crisis of January-June, 2001.

The new state budget was supposed to be passed on July 1st. While both the state assembly and state senate are both controlled by the Democratic party, budget passage requires 2/3's majority, so a few republican votes is needed. Being an election year, both sides are being extremely stubborn in their positions.

Meanwhile, while many state employees are continuing to get a paycheck (although a proposal to reduce their wages to minimum wage until a budget was signed is currently on appeal... don't even ask about all of the details), vendors have not been paid since July 1st. The late fees are accumulating at $5 million per DAY. Meanwhile, a friend of mine who works at the state has some badly needed equipment that needs to be purchased. The orders just need a budget.

Here is the Sacrametno Bee's political page. (http://www.sacbee.com/content/politics/) Some of the proposals include:
* Increasing the cigarette tax from 87 cents per pack to $3 per pack. (Massachusetts is currently the highest at $1.51)
* Doubling the vehicle registration tax. (It was rolled back a few years ago)
* 20 percent across the board layoffs
* One proposal was a across the board cut, with the centerpiece being $1.5 billion cut to public schools and community colleges. When that went up for a vote Monday night, it received ZERO votes.

The longest budget stalement in recent memory was back in 1992, when a budget was signed on September 2nd. We expect that record to be broken.

Oh, did I mention that this is an election year, and Gray Davis (D) and Bill Simon (R) are running neck in neck?

:rolleyes: That's just the bare background of what may be occurring. If you want to discuss the California budget mess, feel free to open a topic in the Potpourri forum.

[Nordug]

One of the many reasons I moved out of California 6 years ago.
Always finding new ways to take more money out of your pocket.

[James_F]

You can run, but you can't hide. :D

California always catches up with you....

[Jacob S]

And if these federal taxes start hitting, EVERYONE gets them

[Ray_Clum]

Here in Indiana, both satellite TV & cable TV are subject to the 5% (soon to be 6%) sales tax. However, cable TV has about another 6% in franchise fees...

[Richard King]

For Florida tax rates check out this release:

http://www.eog.state.fl.us/dor/taxes/cst.html

DIRECT-TO-HOME SATELLITE is taxed 10.8 percent + 2.37 percent gross receipts tax for a total of 13.17 percent. There is no local tax and no residential exemption.

I had no idea they were stealing this much from my customers. As far as I am concerned, this is just theft.

[jrjcd]

i'd have to look at my bill, but here in texas sat is taxed as a service like most anything else(keeps that nasty spectre of state income tax away from the door). probably at 8% where i live-i'd rather have that then deal with a state income tax...

[Jacob S]

Which states have sales tax and which states dont? How much is the sales tax? Which ones tax for satellite on top of that? This would let us know how much is REALLY being charged after it is all said and done.

[tammyandlee]

Is the tax based on your billing address or service address?

Time to move!

Please no one let CA know about XM