Re: [WISPA] taxes
Thanks again for all the replies! Since I didnt get anyone telling me NOT to expense the equipment I'm assuming there is no issue with that. On Fri, Jun 4, 2010 at 1:32 AM, Scottie Arnett sarn...@info-ed.com wrote: As a PC auditor for a rather large customer, this customer is doing over $10 million in revenue per year, their PAID accountants recommend that anything less than a $1,000 be expenses and anything over be depreciated. Their accountants are from a VERY large accountant firm, but anyways, you can take that with a grain of salt. BTW, I am under a NDA. Scottie AFAIK, our business is very typical for a small WISP. Some further background: For the past few years, I've had a good friend do our taxes. He is a Comptroller for a large company and has become too busy to continue. Hence, the reason for my new concerns in my search for a good CPA. Apparently, I'm just running into very conservative CPA's. My friend who owned a WISP at one time disagrees with these CPA's and says he would continue to expense it. I'm just looking for some support to the idea. Thanks to all for your comments! -RickG On Thu, Jun 3, 2010 at 6:54 PM, Faisal Imtiaz fai...@snappydsl.net wrote: I figured there was some thing behind your question.. I know , below you are conveying what a CPA is telling you... but I think there is some context missing here I am not a CPA, so I am also going to using some simple language to put some context arround this.. Most of us who are replying back to you about expensing purchases are referring to what is knows as 'Section 179 Expense' Best Explanation is from the IRS it self... http://www.irs.gov/formspubs/article/0,,id=177054,00.html Needless to say there are some 'stipulations' for 'qualifying businesses'. I would be very much interested to hear / know the reasoning behind what the CPA's are telling you. While I agree that all Government Entities Local/State or Federal are desperately looking for money, but that does not come at the expense of a 'reversal' of what an existing law at will by an agency or it's workers. There has to be some basis for it .. Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 4:52 PM, RickG wrote: Listen, I'm not trying to be argumentative about this. I've always believed as Travis that it is your choice. But, the feedback I'm getting are that things are changing VERY QUICKLY with respect to how the IRS is viewing issues such as this since our government is in desperate need for more revenue. Beware, the kinda, gentler IRS is no more! I've spoken to a couple of CPA's about this. They are warning me that ALL equipment utilized in providing service should be depreciated - expensing it is sending a red flag to the IRS. My concern is that since this is another grey area in our tax law, that is truly does not give us a choice but rather gives the IRS options in order to deal with you as they see fit. Therefore, I prefer to get some feedback that WISP's are in fact expensing their equipment, especially CPE, so as to establish some kind of feeling for an industry standard. -RickG On Thu, Jun 3, 2010 at 3:05 PM, Faisal Imtiazfai...@snappydsl.net wrote: I am not sure what exactly you are concerned about What Travis shared with you is accurate As a business owner, the tax law allows you the choice.IRS does not dictate one or the otherif done correctly both are within the scope of the Law Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 2:55 PM, RickG wrote: Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnsont...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join
Re: [WISPA] taxes
I'm with Travis on this one. Sometimes we take the entire hit at once, other times we spread it out. It kind of depends on what we need for deductions and what the equipment is. Our accountant has taken a lot of time to learn this industry and is really good. The phone number is 509.982.2922 if anyone is looking for a good one. laters, marlon - Original Message - From: RickG rgunder...@gmail.com To: WISPA General List wireless@wispa.org Sent: Thursday, June 03, 2010 11:55 AM Subject: Re: [WISPA] taxes Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnson t...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
[WISPA] taxes
Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnson t...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
I am not sure what exactly you are concerned about What Travis shared with you is accurate As a business owner, the tax law allows you the choice.IRS does not dictate one or the otherif done correctly both are within the scope of the Law Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 2:55 PM, RickG wrote: Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnsont...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
I think that is Travis' point though - is that there are no set guidelines on what to do. From my understanding, and to put in very simple terms, to expense the equipment means that you take the entire possible deduction for that equipment immediately. To depreciate it means that over time (be it 2,3,5,10 years, etc) you take the entire possible deduction. Someone please correct me if I'm wrong on this though. We're like Travis - some things we expense, some we depreciate. Most of our wireless equipment we expense out, but stuff like our vehicles, towers, etc, we will typically depreciate so that we can maximize the potential taxes on those items. I would think that a good accountant would not say you HAVE to expense it all or that you HAVE to depreciate it all. I would think that they would look at your situation and do whatever maximizes the use of the equipment to lower your tax liability. -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, June 03, 2010 1:55 PM To: WISPA General List Subject: Re: [WISPA] taxes Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnson t...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
Most companies have a mix. We lease some equipment. This allows for a monthly right off at 100% of your monthly payment. Long term investment items like Vehicles, Towers, Property get depreciated. The length of the depreciation depends on the type of asset. Property / Buildings fall under 30yr. Other items are shorter. It is perfectly normal to have your assets handled differently. You just have to keep it straight and consistent. Marco WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
Listen, I'm not trying to be argumentative about this. I've always believed as Travis that it is your choice. But, the feedback I'm getting are that things are changing VERY QUICKLY with respect to how the IRS is viewing issues such as this since our government is in desperate need for more revenue. Beware, the kinda, gentler IRS is no more! I've spoken to a couple of CPA's about this. They are warning me that ALL equipment utilized in providing service should be depreciated - expensing it is sending a red flag to the IRS. My concern is that since this is another grey area in our tax law, that is truly does not give us a choice but rather gives the IRS options in order to deal with you as they see fit. Therefore, I prefer to get some feedback that WISP's are in fact expensing their equipment, especially CPE, so as to establish some kind of feeling for an industry standard. -RickG On Thu, Jun 3, 2010 at 3:05 PM, Faisal Imtiaz fai...@snappydsl.net wrote: I am not sure what exactly you are concerned about What Travis shared with you is accurate As a business owner, the tax law allows you the choice.IRS does not dictate one or the otherif done correctly both are within the scope of the Law Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 2:55 PM, RickG wrote: Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnsont...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
Thats my point - there are no guidelines. The IRS makes the rules! From what I can tell, the only way to fight the IRS is to use industry standards. Hence, my question. With equipment (radios, antennas, etc) being so cheap, it no longer makes sense to depreciate it. Of course it does with vehicles and other high dollar items. I continue to get feedback from the CPA's I speak with that you MUST. At least I'm not the only one shocked at this! On Thu, Jun 3, 2010 at 3:05 PM, Jason Hensley ja...@jaggartech.com wrote: I think that is Travis' point though - is that there are no set guidelines on what to do. From my understanding, and to put in very simple terms, to expense the equipment means that you take the entire possible deduction for that equipment immediately. To depreciate it means that over time (be it 2,3,5,10 years, etc) you take the entire possible deduction. Someone please correct me if I'm wrong on this though. We're like Travis - some things we expense, some we depreciate. Most of our wireless equipment we expense out, but stuff like our vehicles, towers, etc, we will typically depreciate so that we can maximize the potential taxes on those items. I would think that a good accountant would not say you HAVE to expense it all or that you HAVE to depreciate it all. I would think that they would look at your situation and do whatever maximizes the use of the equipment to lower your tax liability. -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, June 03, 2010 1:55 PM To: WISPA General List Subject: Re: [WISPA] taxes Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnson t...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
What are you doing with CPE? On Thu, Jun 3, 2010 at 3:25 PM, Marco Coelho coelh...@gmail.com wrote: Most companies have a mix. We lease some equipment. This allows for a monthly right off at 100% of your monthly payment. Long term investment items like Vehicles, Towers, Property get depreciated. The length of the depreciation depends on the type of asset. Property / Buildings fall under 30yr. Other items are shorter. It is perfectly normal to have your assets handled differently. You just have to keep it straight and consistent. Marco WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
Rick, You may have a choice... Look at Section 197. You may be able to expense in lieu of depreciate all of your asset purchases. You CPA will confirm. http://www.section179.org/ Cliff -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, June 03, 2010 3:52 PM To: fai...@snappydsl.net; WISPA General List Subject: Re: [WISPA] taxes Listen, I'm not trying to be argumentative about this. I've always believed as Travis that it is your choice. But, the feedback I'm getting are that things are changing VERY QUICKLY with respect to how the IRS is viewing issues such as this since our government is in desperate need for more revenue. Beware, the kinda, gentler IRS is no more! I've spoken to a couple of CPA's about this. They are warning me that ALL equipment utilized in providing service should be depreciated - expensing it is sending a red flag to the IRS. My concern is that since this is another grey area in our tax law, that is truly does not give us a choice but rather gives the IRS options in order to deal with you as they see fit. Therefore, I prefer to get some feedback that WISP's are in fact expensing their equipment, especially CPE, so as to establish some kind of feeling for an industry standard. -RickG On Thu, Jun 3, 2010 at 3:05 PM, Faisal Imtiaz fai...@snappydsl.net wrote: I am not sure what exactly you are concerned about What Travis shared with you is accurate As a business owner, the tax law allows you the choice.IRS does not dictate one or the otherif done correctly both are within the scope of the Law Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 2:55 PM, RickG wrote: Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnsont...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http
Re: [WISPA] taxes
My accountant says expense it all... but I'm small enough I have that much discretionary expense allowance. ++ Neofast, Inc, Making internet easy 541-969-8200 509-386-4589 ++ -- From: RickG rgunder...@gmail.com Sent: Thursday, June 03, 2010 9:24 AM To: WISPA General List wireless@wispa.org Subject: [WISPA] taxes Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
I figured there was some thing behind your question.. I know , below you are conveying what a CPA is telling you... but I think there is some context missing here I am not a CPA, so I am also going to using some simple language to put some context arround this.. Most of us who are replying back to you about expensing purchases are referring to what is knows as 'Section 179 Expense' Best Explanation is from the IRS it self... http://www.irs.gov/formspubs/article/0,,id=177054,00.html Needless to say there are some 'stipulations' for 'qualifying businesses'. I would be very much interested to hear / know the reasoning behind what the CPA's are telling you. While I agree that all Government Entities Local/State or Federal are desperately looking for money, but that does not come at the expense of a 'reversal' of what an existing law at will by an agency or it's workers. There has to be some basis for it .. Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 4:52 PM, RickG wrote: Listen, I'm not trying to be argumentative about this. I've always believed as Travis that it is your choice. But, the feedback I'm getting are that things are changing VERY QUICKLY with respect to how the IRS is viewing issues such as this since our government is in desperate need for more revenue. Beware, the kinda, gentler IRS is no more! I've spoken to a couple of CPA's about this. They are warning me that ALL equipment utilized in providing service should be depreciated - expensing it is sending a red flag to the IRS. My concern is that since this is another grey area in our tax law, that is truly does not give us a choice but rather gives the IRS options in order to deal with you as they see fit. Therefore, I prefer to get some feedback that WISP's are in fact expensing their equipment, especially CPE, so as to establish some kind of feeling for an industry standard. -RickG On Thu, Jun 3, 2010 at 3:05 PM, Faisal Imtiazfai...@snappydsl.net wrote: I am not sure what exactly you are concerned about What Travis shared with you is accurate As a business owner, the tax law allows you the choice.IRS does not dictate one or the otherif done correctly both are within the scope of the Law Regards Faisal Imtiaz Snappy InternetTelecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 2:55 PM, RickG wrote: Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnsont...@ida.netwrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA
Re: [WISPA] taxes
Size matters :) On Thu, Jun 3, 2010 at 6:24 PM, MDK rea...@muddyfrogwater.us wrote: My accountant says expense it all... but I'm small enough I have that much discretionary expense allowance. ++ Neofast, Inc, Making internet easy 541-969-8200 509-386-4589 ++ -- From: RickG rgunder...@gmail.com Sent: Thursday, June 03, 2010 9:24 AM To: WISPA General List wireless@wispa.org Subject: [WISPA] taxes Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
AFAIK, our business is very typical for a small WISP. Some further background: For the past few years, I've had a good friend do our taxes. He is a Comptroller for a large company and has become too busy to continue. Hence, the reason for my new concerns in my search for a good CPA. Apparently, I'm just running into very conservative CPA's. My friend who owned a WISP at one time disagrees with these CPA's and says he would continue to expense it. I'm just looking for some support to the idea. Thanks to all for your comments! -RickG On Thu, Jun 3, 2010 at 6:54 PM, Faisal Imtiaz fai...@snappydsl.net wrote: I figured there was some thing behind your question.. I know , below you are conveying what a CPA is telling you... but I think there is some context missing here I am not a CPA, so I am also going to using some simple language to put some context arround this.. Most of us who are replying back to you about expensing purchases are referring to what is knows as 'Section 179 Expense' Best Explanation is from the IRS it self... http://www.irs.gov/formspubs/article/0,,id=177054,00.html Needless to say there are some 'stipulations' for 'qualifying businesses'. I would be very much interested to hear / know the reasoning behind what the CPA's are telling you. While I agree that all Government Entities Local/State or Federal are desperately looking for money, but that does not come at the expense of a 'reversal' of what an existing law at will by an agency or it's workers. There has to be some basis for it .. Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 4:52 PM, RickG wrote: Listen, I'm not trying to be argumentative about this. I've always believed as Travis that it is your choice. But, the feedback I'm getting are that things are changing VERY QUICKLY with respect to how the IRS is viewing issues such as this since our government is in desperate need for more revenue. Beware, the kinda, gentler IRS is no more! I've spoken to a couple of CPA's about this. They are warning me that ALL equipment utilized in providing service should be depreciated - expensing it is sending a red flag to the IRS. My concern is that since this is another grey area in our tax law, that is truly does not give us a choice but rather gives the IRS options in order to deal with you as they see fit. Therefore, I prefer to get some feedback that WISP's are in fact expensing their equipment, especially CPE, so as to establish some kind of feeling for an industry standard. -RickG On Thu, Jun 3, 2010 at 3:05 PM, Faisal Imtiazfai...@snappydsl.net wrote: I am not sure what exactly you are concerned about What Travis shared with you is accurate As a business owner, the tax law allows you the choice.IRS does not dictate one or the otherif done correctly both are within the scope of the Law Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 2:55 PM, RickG wrote: Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnsont...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe:
Re: [WISPA] taxes
Oh, another surprise viewpoint from the latest CPA - He says we should depreciate the installation labor! Maybe I need to look for a CPA in another city! On Thu, Jun 3, 2010 at 6:24 PM, MDK rea...@muddyfrogwater.us wrote: My accountant says expense it all... but I'm small enough I have that much discretionary expense allowance. ++ Neofast, Inc, Making internet easy 541-969-8200 509-386-4589 ++ -- From: RickG rgunder...@gmail.com Sent: Thursday, June 03, 2010 9:24 AM To: WISPA General List wireless@wispa.org Subject: [WISPA] taxes Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
As a PC auditor for a rather large customer, this customer is doing over $10 million in revenue per year, their PAID accountants recommend that anything less than a $1,000 be expenses and anything over be depreciated. Their accountants are from a VERY large accountant firm, but anyways, you can take that with a grain of salt. BTW, I am under a NDA. Scottie AFAIK, our business is very typical for a small WISP. Some further background: For the past few years, I've had a good friend do our taxes. He is a Comptroller for a large company and has become too busy to continue. Hence, the reason for my new concerns in my search for a good CPA. Apparently, I'm just running into very conservative CPA's. My friend who owned a WISP at one time disagrees with these CPA's and says he would continue to expense it. I'm just looking for some support to the idea. Thanks to all for your comments! -RickG On Thu, Jun 3, 2010 at 6:54 PM, Faisal Imtiaz fai...@snappydsl.net wrote: I figured there was some thing behind your question.. I know , below you are conveying what a CPA is telling you... but I think there is some context missing here I am not a CPA, so I am also going to using some simple language to put some context arround this.. Most of us who are replying back to you about expensing purchases are referring to what is knows as 'Section 179 Expense' Best Explanation is from the IRS it self... http://www.irs.gov/formspubs/article/0,,id=177054,00.html Needless to say there are some 'stipulations' for 'qualifying businesses'. I would be very much interested to hear / know the reasoning behind what the CPA's are telling you. While I agree that all Government Entities Local/State or Federal are desperately looking for money, but that does not come at the expense of a 'reversal' of what an existing law at will by an agency or it's workers. There has to be some basis for it .. Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 4:52 PM, RickG wrote: Listen, I'm not trying to be argumentative about this. I've always believed as Travis that it is your choice. But, the feedback I'm getting are that things are changing VERY QUICKLY with respect to how the IRS is viewing issues such as this since our government is in desperate need for more revenue. Beware, the kinda, gentler IRS is no more! I've spoken to a couple of CPA's about this. They are warning me that ALL equipment utilized in providing service should be depreciated - expensing it is sending a red flag to the IRS. My concern is that since this is another grey area in our tax law, that is truly does not give us a choice but rather gives the IRS options in order to deal with you as they see fit. Therefore, I prefer to get some feedback that WISP's are in fact expensing their equipment, especially CPE, so as to establish some kind of feeling for an industry standard. -RickG On Thu, Jun 3, 2010 at 3:05 PM, Faisal Imtiazfai...@snappydsl.net wrote: I am not sure what exactly you are concerned about What Travis shared with you is accurate As a business owner, the tax law allows you the choice.IRS does not dictate one or the otherif done correctly both are within the scope of the Law Regards Faisal Imtiaz Snappy Internet Telecom 7266 SW 48 Street Miami, Fl 33155 Tel: 305 663 5518 x 232 Helpdesk: 305 663 5518 option 2 Email: supp...@snappydsl.net On 6/3/2010 2:55 PM, RickG wrote: Travis, thanks for your input. I'm really looking for feedback as to what our industry's standard is. I submit that the IRS does not look at it as a personal, business choice. I'd rather do it correctly now than find out from the IRS I'm doing it wrong. On Thu, Jun 3, 2010 at 12:44 PM, Travis Johnsont...@ida.net wrote: This is a personal, business choice. There is no set answer. Some of our equipment we expense and some we depreciate. It all depends on what tax breaks you need now vs. later. Travis Microserv RickG wrote: Everyone's favorite subject :) I'm getting mixed information form my accountants on this and want to know what everyone else is doing. The basic question is this: Are you expensing or depreciating the equipment? Equipment being radios (AP CPE), antennas, switches, firewalls, etc. With the cost of the electronics being so low, its not making much sense to depreciate. Which takes me to a second question: Have any WISPs been audited by the IRS for this reason? Thanks in advance! -RickG WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe:
[WISPA] Taxes
Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] Taxes
Depends upon the state in which services are rendered. C -Original Message- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of Mike Hammett Sent: Tuesday, September 30, 2008 10:49 AM To: WISPA List Subject: [WISPA] Taxes Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] Taxes
Any Internet except for a few grandfathered states is tax except by Federal law. Phone services are taxed to the end of the world, USF, State, Federal etc. this includes VOIP. Disclaimer, I am not a tax attorney nor do I play one on the boob tube or even youtube. Anthony Will Broadband Corp. http://www.broadband-mn.com Mike Hammett wrote: Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] Taxes
Well I was told by the Indiana state tax department that all communications including internet access should be charged sales tax. Although I don't know anyone here doing that. John Buwa Michiana Wireless -Original Message- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of Anthony Will Sent: Tuesday, September 30, 2008 10:02 AM To: WISPA General List Subject: Re: [WISPA] Taxes Any Internet except for a few grandfathered states is tax except by Federal law. Phone services are taxed to the end of the world, USF, State, Federal etc. this includes VOIP. Disclaimer, I am not a tax attorney nor do I play one on the boob tube or even youtube. Anthony Will Broadband Corp. http://www.broadband-mn.com Mike Hammett wrote: Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ -- -- WISPA Wants You! Join today! http://signup.wispa.org/ -- -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] Taxes
Indiana is particularly aggressive on the collection of sales and use taxes, as I learned from personal experience. Paul D. Kralovec President Unplugged Cities, LLC 800 Washington Ave No Suite 501 Minneapolis, MN 55401 W: 763-235-3001 F: 763-647-7998 C: 952-270-9107 www.unpluggedcities.com IMPORTANT NOTICES: Confidential Information. The information contained in or attached to this e-mail may be confidential information subject to protection by law or terms of applicable confidentiality agreements, and is intended only for the use of the individual or entity named above. If the reader of this message is not the intended recipient, or the employee or agent responsible to deliver it to the intended recipient, you are hereby notified that any dissemination, distribution, or copying of this communication is strictly prohibited. If you are not the addressee indicated in this message (or responsible for delivery of the message to such person), you should destroy this message and notify the sender by reply email. -Original Message- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of [EMAIL PROTECTED] Sent: Tuesday, September 30, 2008 11:24 AM To: 'WISPA General List' Subject: Re: [WISPA] Taxes Well I was told by the Indiana state tax department that all communications including internet access should be charged sales tax. Although I don't know anyone here doing that. John Buwa Michiana Wireless -Original Message- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of Anthony Will Sent: Tuesday, September 30, 2008 10:02 AM To: WISPA General List Subject: Re: [WISPA] Taxes Any Internet except for a few grandfathered states is tax except by Federal law. Phone services are taxed to the end of the world, USF, State, Federal etc. this includes VOIP. Disclaimer, I am not a tax attorney nor do I play one on the boob tube or even youtube. Anthony Will Broadband Corp. http://www.broadband-mn.com Mike Hammett wrote: Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ -- -- WISPA Wants You! Join today! http://signup.wispa.org/ -- -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] Taxes
Mike: You will be responsible for collecting and remitting USF charges to USAC. Your VoIP service provider may do it for you, but you will still have to register, obtain an ID number, and submit the differential of retail versus wholesale USF fees owed on voice services. FET tax does not apply because the FCC continues to define VoIP services as a data, not telephony, service. State taxes vary by state and still represent a grey area in our opinion. If you ask any state PUC they will of course tell you that you must pay them for any and all services, including VoIP. But as someone else pointed out, check with legal counsel on this one in the state(s) in which you intend to provide service. Ron -Original Message- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of Mike Hammett Sent: Tuesday, September 30, 2008 10:49 AM To: WISPA List Subject: [WISPA] Taxes Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] Taxes
There are very few states that are allowed to tax Internet. Texas is the only one I can think of off the top of my head. From Wikipedia, the free encyclopedia Jump to: navigation http://en.wikipedia.org/wiki/Internet_Tax_Nondiscrimination_Act#column-one, search http://en.wikipedia.org/wiki/Internet_Tax_Nondiscrimination_Act#searchInput The *Internet Tax Nondiscrimination Act*, Pub.L. 108-435 http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=108_cong_public_lawsdocid=f:publ435.108, is the current U.S. federal law that bans Internet taxes http://en.wikipedia.org/wiki/Internet_taxes in the United States. Signed into law on December 3 http://en.wikipedia.org/wiki/December_3, 2004 http://en.wikipedia.org/wiki/2004, by George W. Bush http://en.wikipedia.org/wiki/George_W._Bush, it extended until 2007 the then-current moratorium http://en.wikipedia.org/wiki/Moratorium on new and discriminatory taxes on the Internet http://en.wikipedia.org/wiki/Internet_taxes. It also extended the federal prohibition against state and local Internet access taxes until November 2007. The law's co-authors were Representative http://en.wikipedia.org/wiki/United_States_House_of_Representatives Chris Cox http://en.wikipedia.org/wiki/Chris_Cox (R http://en.wikipedia.org/wiki/United_States_Republican_Party-California http://en.wikipedia.org/wiki/California), Senator http://en.wikipedia.org/wiki/Senator George Allen http://en.wikipedia.org/wiki/George_Allen_%28U.S._politician%29 (R-Virginia http://en.wikipedia.org/wiki/Virginia), and Senator http://en.wikipedia.org/wiki/Senator Ron Wyden http://en.wikipedia.org/wiki/Ron_Wyden (D http://en.wikipedia.org/wiki/United_States_Democratic_Party-Oregon http://en.wikipedia.org/wiki/Oregon). The law was supported by a congressionally-sponsored study commission known as the Advisory Commission on Electronic Commerce, which studied Internet taxes in 1999 and 2000. The Commission was chaired by then-Virginia Governor James S. Gilmore, III, who led a coalition of Commission members to issue a final report opposing taxation of the Internet and eliminating federal telephone taxes, among other ideas. On November 1, 2007, President Bush signed the Internet Tax Freedom Act Amendment Acts of 2007 into law. It extends the prohibitions against multiple and discriminatory taxes on electronic commerce until November 1, 2014. Here is the original act http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=108_cong_public_lawsdocid=f:publ435.108 Anthony Will Broadband Corp. http://www.broadband-mn.com Paul Kralovec wrote: Indiana is particularly aggressive on the collection of sales and use taxes, as I learned from personal experience. Paul D. Kralovec President Unplugged Cities, LLC 800 Washington Ave No Suite 501 Minneapolis, MN 55401 W: 763-235-3001 F: 763-647-7998 C: 952-270-9107 www.unpluggedcities.com IMPORTANT NOTICES: Confidential Information. The information contained in or attached to this e-mail may be confidential information subject to protection by law or terms of applicable confidentiality agreements, and is intended only for the use of the individual or entity named above. If the reader of this message is not the intended recipient, or the employee or agent responsible to deliver it to the intended recipient, you are hereby notified that any dissemination, distribution, or copying of this communication is strictly prohibited. If you are not the addressee indicated in this message (or responsible for delivery of the message to such person), you should destroy this message and notify the sender by reply email. -Original Message- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of [EMAIL PROTECTED] Sent: Tuesday, September 30, 2008 11:24 AM To: 'WISPA General List' Subject: Re: [WISPA] Taxes Well I was told by the Indiana state tax department that all communications including internet access should be charged sales tax. Although I don't know anyone here doing that. John Buwa Michiana Wireless -Original Message- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of Anthony Will Sent: Tuesday, September 30, 2008 10:02 AM To: WISPA General List Subject: Re: [WISPA] Taxes Any Internet except for a few grandfathered states is tax except by Federal law. Phone services are taxed to the end of the world, USF, State, Federal etc. this includes VOIP. Disclaimer, I am not a tax attorney nor do I play one on the boob tube or even youtube. Anthony Will Broadband Corp. http://www.broadband-mn.com Mike Hammett wrote: Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org
Re: [WISPA] Taxes
I would like to state that the State of Illinois has informed me that wireless Internet service is not taxable... well as a sale. Income tax is income tax, regardless of what it is. VoIP is subject to the Telecommunications Excise tax, which varies depending on municipality or county if unincorporated. The rate varies from state minimum of 7% to the state maximum of 13%, which the locality's own regulations being the difference. Now to get that setup in QuickBooks is another story... The USF states that unless you're going to make contributions to the USF of $10k or less per year, you don't even need to file. It varies each quarter, but that means roughly $77k in annual sales. I have not been made aware of any other taxes. -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com -- From: Mike Hammett [EMAIL PROTECTED] Sent: Tuesday, September 30, 2008 9:49 AM To: WISPA List wireless@wispa.org Subject: [WISPA] Taxes Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] Taxes
Well, true, as always, IANAL, YMMV, etc. I know I won't meet the threshold because sales could double and I still wouldn't hit that much. Perhaps a safe margin would be until you do... $4k/month in VoIP service, to not worry about filing. That is the site that I gleaned my information from. -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com -- From: Ron Harden [EMAIL PROTECTED] Sent: Tuesday, September 30, 2008 5:35 PM To: 'WISPA General List' wireless@wispa.org Subject: Re: [WISPA] Taxes Mike: USF penalties are pretty stiff and the FCC has gotten aggressive on it, so be careful on that one. I don't agree with what you said -- we believe that by law you still have to file (you won't know until the end of the year whether your fees collected exceed the de minimis amount). Check the attached website, if you have not done so already. BTW -- Brighthouse in FL charges 8.9% for retail USF, which is also what we charge. The rate depends on your traffic mix, or whether you use the default rate. At that rate, if my math is correct, that indicates that $112K in annual revenue would be required to meet the $10K threshold, or about $9.3K per month, or about 400 lines of service. Ron -Original Message- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of Mike Hammett Sent: Tuesday, September 30, 2008 6:06 PM To: WISPA General List Subject: Re: [WISPA] Taxes I would like to state that the State of Illinois has informed me that wireless Internet service is not taxable... well as a sale. Income tax is income tax, regardless of what it is. VoIP is subject to the Telecommunications Excise tax, which varies depending on municipality or county if unincorporated. The rate varies from state minimum of 7% to the state maximum of 13%, which the locality's own regulations being the difference. Now to get that setup in QuickBooks is another story... The USF states that unless you're going to make contributions to the USF of $10k or less per year, you don't even need to file. It varies each quarter, but that means roughly $77k in annual sales. I have not been made aware of any other taxes. -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com -- From: Mike Hammett [EMAIL PROTECTED] Sent: Tuesday, September 30, 2008 9:49 AM To: WISPA List wireless@wispa.org Subject: [WISPA] Taxes Are wireless Internet or VoIP services taxable? -- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/ WISPA Wants You! Join today! http://signup.wispa.org/ WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
[WISPA] taxes
Certainly, none of you should be surprised by this. He has to make up for a $1T short-fall at the same time Congress is trying to repeal the 3% Excise tax levied in the 1800s. All other forms of transport are taxed including cellular. Wait. DIDs for VOIP will be taxed before 3Q06. Too much money is going untaxed. Federal, state, and local governments are scrambling to make up the shortfalls. IPTV, VOIP, state-wide franchises, lower monthly phone bills, disappearing LD charges, untaxed internet sales, untaxed internet access -- it has to come from somewhere. But it smart to get in front of this and ask for something in return. Regards, Peter RAD-INFO, Inc. - NSP Strategist We Help ISPs Connect Communicate 813.963.5884 http://4isps.com/newsletter.htm -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
[WISPA] taxes and ideas
Let me just add some ideas: 1) Follow what the DBS industry does: they get their customers involved in making noise to Congress. Mailers, email notices, website buttons, and online forms. I understand that ISPs do not like to involve their customers for fear that the customers will think you are dying and leave. If handled appropriately, this need not be a worry. II4A hired a lobbyist to write 7 template letters to be faxed to Congress (www.ii4a.org/letters/). 2) Making noise in DC is expensive and time consuming. And diplomacy is not something the ISP industry is noted for. You need bucks. Start with a PayPal donation button. Put it everywhere. Collect some dough to speak for the consumers who like their 3rd Pipe bandwidth. 3) Come up with a realistic plan for the taxes. The gov't wants money. Instead of saying NO TAXES, give them an alternative plan of action. How could they collect additional money? PLay the DC game of compromise. 4) WISPA needs money. May I suggest taking this General list and making it a subscription? Maybe $9.95 per month or $100 for the year? 5) You might want to set up a WISPA Meeting at ISPCON in May or at the ISP Expo in Dallas in June. (If you want help setting this up, let me know). Those are my double-caffeine inspired thoughts this morning. Regards, Peter RAD-INFO, Inc. - NSP Strategist We Help ISPs Connect Communicate 813.963.5884 http://4isps.com/newsletter.htm -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
Don't really think this list is the place for that debate. Brian Rohrbacher wrote: Goverment should lower taxes. They would have more money. Peter R. wrote: Certainly, none of you should be surprised by this. He has to make up for a $1T short-fall at the same time Congress is trying to repeal the 3% Excise tax levied in the 1800s. All other forms of transport are taxed including cellular. Wait. DIDs for VOIP will be taxed before 3Q06. Too much money is going untaxed. Federal, state, and local governments are scrambling to make up the shortfalls. IPTV, VOIP, state-wide franchises, lower monthly phone bills, disappearing LD charges, untaxed internet sales, untaxed internet access -- it has to come from somewhere. But it smart to get in front of this and ask for something in return. Regards, Peter RAD-INFO, Inc. - NSP Strategist We Help ISPs Connect Communicate 813.963.5884 http://4isps.com/newsletter.htm -- Blair Davis AOL IM Screen Name -- Theory240 West Michigan Wireless ISP 269-686-8648 A division of: Camp Communication Services, INC -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
I could not say it any better. You know what they say about what is suredeath and taxes. Scriv Peter R. wrote: Certainly, none of you should be surprised by this. He has to make up for a $1T short-fall at the same time Congress is trying to repeal the 3% Excise tax levied in the 1800s. All other forms of transport are taxed including cellular. Wait. DIDs for VOIP will be taxed before 3Q06. Too much money is going untaxed. Federal, state, and local governments are scrambling to make up the shortfalls. IPTV, VOIP, state-wide franchises, lower monthly phone bills, disappearing LD charges, untaxed internet sales, untaxed internet access -- it has to come from somewhere. But it smart to get in front of this and ask for something in return. Regards, Peter RAD-INFO, Inc. - NSP Strategist We Help ISPs Connect Communicate 813.963.5884 http://4isps.com/newsletter.htm -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes
- Original Message - From: Peter R. [EMAIL PROTECTED] To: WISPA General List wireless@wispa.org Sent: Tuesday, February 07, 2006 6:01 AM Subject: [WISPA] taxes Certainly, none of you should be surprised by this. He has to make up for a $1T short-fall at the same time Congress is trying to repeal the 3% Excise tax levied in the 1800s. All other forms of transport are taxed including cellular. Wait. DIDs for VOIP will be taxed before 3Q06. Too much money is going untaxed. Federal, state, and local governments are scrambling to make up the shortfalls. IPTV, VOIP, state-wide franchises, lower monthly phone bills, disappearing LD charges, untaxed internet sales, untaxed internet access -- it has to come from somewhere. No, it doesn't. I suggest an amazingly novel idea. They just do without. If that catches on, it could be revolutionary :) North East Oregon Fastnet, LLC 509-593-4061 personal correspondence to: mark at neofast dot net sales inquiries to: purchasing at neofast dot net Fast Internet, NO WIRES! - -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
Re: [WISPA] taxes and ideas
Here is a novel idea, how about those that benefit from this list, digging into their pockets and paying their WISPA dues? I am not even a WISP yet, and have paid and receive benefits. John Thomas Clare Computer Solutions Peter R. wrote: Let me just add some ideas: 1) Follow what the DBS industry does: they get their customers involved in making noise to Congress. Mailers, email notices, website buttons, and online forms. I understand that ISPs do not like to involve their customers for fear that the customers will think you are dying and leave. If handled appropriately, this need not be a worry. II4A hired a lobbyist to write 7 template letters to be faxed to Congress (www.ii4a.org/letters/). 2) Making noise in DC is expensive and time consuming. And diplomacy is not something the ISP industry is noted for. You need bucks. Start with a PayPal donation button. Put it everywhere. Collect some dough to speak for the consumers who like their 3rd Pipe bandwidth. 3) Come up with a realistic plan for the taxes. The gov't wants money. Instead of saying NO TAXES, give them an alternative plan of action. How could they collect additional money? PLay the DC game of compromise. 4) WISPA needs money. May I suggest taking this General list and making it a subscription? Maybe $9.95 per month or $100 for the year? 5) You might want to set up a WISPA Meeting at ISPCON in May or at the ISP Expo in Dallas in June. (If you want help setting this up, let me know). Those are my double-caffeine inspired thoughts this morning. Regards, Peter RAD-INFO, Inc. - NSP Strategist We Help ISPs Connect Communicate 813.963.5884 http://4isps.com/newsletter.htm -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
