IRS Refunding Long Distance Taxes

This is unrelated to Verizon’s fee refunds, but the IRS is refunding taxpayers between $30 and $60 if they paid for long distance between March 2003 and July 2006. This is a separate issue in which the government instituted an excise tax during the Spanish-American War. That was back in the 19th century.

In May, the government repealed the tax and now the IRS has announced details about the refund:

If you want to fish through 41 months worth of phone bills to calculate how much you actually paid, you can claim that amount on your return. Otherwise, the IRS announced Thursday you can claim $30 if you’re filing a 2006 return with one exemption; $40 for two exemptions; $50 for three exemptions and $60 for four or more exemptions.

Businesses will be able to able to claim a refund as well, based on the actual amount paid.

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