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State and Local Government / Municipal Policy

Cell Phone Tax Windfall Is Another Reason to Roll Back Tax Rates

By David Stokes on Dec 12, 2007

The Post-Dispatch reports that AT&T has agreed to settle the lawsuit brought by cities for back taxes from cell phone bills:

The proposed agreement with more than 300 Missouri municipalities could end six years of litigation between AT&T Mobility, a division of AT&T Inc., and the cities’ gross receipts tax.

This is on top of previous settlement agreements with Verizon and US Cellular. Here is a link to the list of cities and how much they are getting from AT&T alone. Courtesy of Senator Mike Gibbons, here is a list of cities within St. Louis County that did not roll back their tax rates in response to reassessment this year, because they were below the authorized cap.

If your hometown is on both lists, you should consider asking them some serious questions about why they are receiving more money from reassessment, along with this cell tax windfall, and still not rolling back tax rates.

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About the author

David Stokes

Director of Municipal Policy

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