Understanding Your Metronet Taxes, Fees, and Other Charges

Updated 4 months ago.

Your Metronet invoice may include various taxes, surcharges, and fees. Here is an explanation of them.


PHONE RELATED FEES

Communications Services Tax
Florida imposes a communications sales tax on cable television service and landline voice services. The tax is owed to the state or local government by the subscriber and Metronet acts as a collection and remittance agent.

E911
This tax helps states and localities fund the 911 and E911 systems and networks that facilitate the provision of emergency services such as fire, police, and rescue. The tax is owed to the state or local government by the subscriber and Metronet acts as a collection and remittance agent.

FCC Regulatory Fee
The FCC Regulatory Fee covers the costs of enforcement activities, policy, and rulemaking activities, user information services, and international activities performed by the FCC. Federal statute requires the FCC to "assess and collect" fees to recover the costs of these activities. Service providers are permitted to pass them on to consumers as a line item on the bill.

Federal Excise Tax
The Federal excise tax is a tax on local telephone service that includes services and facilities sold in connection with local service. Metronet acts as a billing agent and collects these fees on behalf of the Internal Revenue Service (IRS). All monies collected for the Federal excise tax are paid directly to the IRS.

Federal USF
This fee is assessed against local and long-distance interstate phone service and remitted to the Universal Service Fund administrator to ensure affordable access to telecommunications services for low-income customers, schools, libraries, and rural health care providers.

State Service Tax
This tax refers to the Illinois Telecommunications Excise Tax (TETA). These taxes are levied on Metronet and service providers are permitted to pass them on to consumers as a line item on the bill.

State Surcharge
This refers to the Illinois Telecommunications Infrastructure Maintenance Fee which is used to fund the maintenance of telecommunications infrastructure such as networks, switches, etc. Metronet is permitted to pass this on to consumers as a line item on the bill.

State PUC Surcharge
These are charges levied on Metronet by a PUC to fund Public Utility Commission. These vary from state to state. Service providers are permitted to pass them on to consumers as a line item on the bill.

State Statutory Gross Receipts Tax
A tax levied by a state government on all intrastate and interstate telephone services. In Kentucky, this tax is for schools and varies based upon the school district but cannot exceed 3%. Service providers are permitted to pass them on to consumers as a line item on the bill.

State USF
This is Metronet’s contribution to your state’s Universal Service Fund, which is a state fund that ensures the availability of affordable communications services to certain types of customers. This fee is assessed on intrastate telecommunications services. Metronet is permitted to pass this on to consumers as a line item on the bill.

State Utility Users Tax
The Utility Users Tax is a tax imposed on the consumer for using a utility (telecommunication) service. The tax is commonly based on a percentage of the amount billed to each customer for the service and is generally governed by City municipalities. Service providers are permitted to pass them on to consumers as a line item on the bill.

Telecom Relay Surcharge
Provides special-needs equipment, facilities, and services for the deaf. This includes special phones, hearing devices, Braille pads, network switching equipment, and specialized service center customers. It is state-specific and established by state law, public utility commission rules, or tariff filings. Metronet acts as a collection and remittance agent.



GENERAL TAXES AND FEES

Amusement Tax
The amusement tax is charged to consumers for any paid television or electronically delivered service. Jurisdiction: City of Chicago, IL.

Franchise Fee
Franchise fees are paid to local governments as compensation for Metronet's use of the public rights-of-way and easements. The Federal Cable Act authorizes cable operators to collect from customers the full amount of franchise fees paid to local governments.

Gross Receipts
This tax is imposed on gross intrastate revenues by state and local governments. In Kentucky, this includes telecommunications and video. This tax may vary by state, and in some states, the tax may vary by locality. The fee we charge you is not government-mandated, but these costs are outside our control and so are passed through to our customers.

Local Transit Tax
This refers to a tax on all sales within the relevant City or County for the purpose of providing financial assistance to the local transit authority. Metronet acts as a collection and remittance agent.

Local Surcharge
The rate for these taxes varies by state and/or locality. These taxes are levied on Metronet and service providers are permitted to pass them on to consumers as a line item on the bill.

Paper Bill
This charge is assessed to accounts receiving a paper bill. Pay online and save by using our Online Account Management (OAM) electronic payment system.

State Business and Occupation
This tax is imposed on the business, like income taxes and property taxes. However, businesses are allowed to itemize the tax on their customer’s bill as a separate line item. Jurisdiction: Nebraska.

State Taxes
The rate for sales taxes varies by state and/or locality. The tax is owed to the state or local government by the subscriber. Metronet acts as a collection and remittance agent.

Tech Assure
This covers any service call or broken Metronet-owned equipment. If it is our equipment or our wiring, inside or outside your home, we will fix or replace it, subject to coverage requirements.

Video Excise Tax
Kentucky imposes a tax on video services. Metronet acts as a billing agent and collects these fees on behalf of Kentucky.



Click HERE to visit the Understanding Your Metronet Bill webpage.