Home » Santa Clarita Latest News » Texting Tax Proposal Withdrawn After Texting Deemed ‘Information Service’

Texting Tax Proposal Withdrawn After Texting Deemed ‘Information Service’

The California Public Utilities Commission has withdrawn a proposal that would have added a surcharge for text messages sent from a cell phone across the state, including Santa Clarita, after the Federal Communications Commission declared that text messaging was an “information service.”


Sponsored Articles


Don’t miss a thing. Get breaking KHTS Santa Clarita News Alerts delivered right to your inbox.

The commission released a proposal earlier this week detailing a plan to find new revenue streams to make up for a deficit created by a state program for a low-income cellular service.

The proposed tax would not have been applied to individual texts, but instead create a monthly surcharge based on a cellular bill that includes any fees for text message services, according to officials.

The proposal faced strong opposition from industry trade groups like the CTIA, which represents AT&T Mobility, Sprint and T-Mobile.

California officials argued that text messaging was a telecommunications service, meaning that they were subject to the collection of surcharges under California law.

Do you have a news tip? Call us at (661) 298-1220, or send an email to [email protected].

CTIA officials argued that if texts are an information service, then the state doesn’t have authority over them and can’t add on surcharges. It claims the proposal would violate federal law.

On Wednesday, the FCC ruled that text messages were an information service, not a telecommunications service. Under the Federal Telecommunications Act, state authority over information services is limited.

As a result, the California Public Utilities Commission assigned commissioner, Carla J. Peterman, withdrew the proposal, and text messaging has officially been classified as an information service under federal law, according to officials.

Report a typo or error, email [email protected]

KHTS FM 98.1 and AM 1220 is Santa Clarita’s only local radio station. KHTS mixes in a combination of news, traffic, sports, and features along with your favorite adult contemporary hits. Santa Clarita news and features are delivered throughout the day over our airwaves, on our website and through a variety of social media platforms. Our KHTS national award-winning daily news briefs are now read daily by 34,000+ residents. A vibrant member of the Santa Clarita community, the KHTS broadcast signal reaches all of the Santa Clarita Valley and parts of the high desert communities located in the Antelope Valley. The station streams its talk shows over the web, reaching a potentially worldwide audience. Follow @KHTSRadio on Facebook, Twitter, and Instagram.

KHTS FM 98.1 & AM 1220 - Santa Clarita News - Santa Clarita Radio

Texting Tax Proposal Withdrawn After Texting Deemed ‘Information Service’

4 comments

  1. I have a whole list of fees on my cell bill and my phone bill. Fee on top of fee on top of fee. Its crazy.

  2. Rose check out the other bills and see how much You’re paying for the screwups. The person who says You owe me.

  3. Here we go again, State of California wanting to stick their hands in Our pockets to grab More Tax Money. Just Say No to More Taxes.

Leave a Reply

Your email address will not be published. Required fields are marked *

*

This site uses Akismet to reduce spam. Learn how your comment data is processed.

About Michael Brown

Michael Brown has lived in Santa Clarita his whole life. Graduating from Saugus High School in 2016, he continued to stay local by attending The Master’s University, where he achieved a Bachelor's Degree in Communication. Michael joined KHTS in January of 2018 as a news intern, and has since gone on to become the News Director for the KHTS Newsroom. Since joining KHTS, Michael has covered many breaking news stories (both on scene and on air), interviewed dozens of prominent state and federal political figures, and interacted with hundreds of residents from Santa Clarita. When he is not working, Michael enjoys spending time with his family, as well as reading any comic book he can get his hands on.