# Curious as to what rate people pay in taxes for DirecTv.



## ejjames (Oct 3, 2006)

Mods, delete this if it is out-of-bounds, but I was wondering what people pay in taxes from state to state?

I live in Minneapolis, MN, and it looks like I pay 6.5%, which is standard sales tax here. I see no other fees.

Does anyone know how cable stacks up? It seems I remember FCC and other fees when I used to have cable.

Please disregard if you feel I am out-of-bounds!


----------



## ciurca (Apr 14, 2009)

It varies from state to state, based upon what legislation the individual states pass. I don't believe I pay any in MD.


----------



## Jeremy W (Jun 19, 2006)

Michigan is 0%, although they're trying to change that.


----------



## TheRatPatrol (Oct 1, 2003)

No taxes here in AZ.


----------



## CCarncross (Jul 19, 2005)

in the states where there is a tax, it is the state sales tax rate...


----------



## Villager (Feb 8, 2007)

Florida

Florida has a special tax for satellite service. I believe it is 13% while the basic state sales tax is 6.5%. City/county tax takes the usual sales tax up to 7.5% or 8% in many localities. This special tax for satellite service was advocated by cablecos.

Checked recent statement: Regular sales tax (7.5% in my county) on the Protection Plan = $0.45 on the $5.99. Then $10.01 "Communication Services Tax" on rest. [Total Choice DVR + HD = $75.99, Leased Receiver = $5, Adjustment for First Leased Receiver = $5 for net of $75.99]. I'm not sure if tax is based on the $75.99 or $80.99 but that puts the tax somewhere between 12.36% and 13.17%.


----------



## TBlazer07 (Feb 5, 2009)

NJ is 0% on DirecTV for some strange reason but I am sure that will change with the new Governor. The only tax I am billed is on the $5 lease fees (all my dvr's except 1 are owned so I only pay 35cents tax on that one) and the Protection Plan (42cents). 

D* is probably the only thing NOT taxed (other then food and clothing) which is strange.


----------



## lee78221 (Sep 25, 2007)

I did some googling and it looks like we pay 6.25% in a Sales Tax(Texas).

http://2getdtv.com/directv/taxes.html


----------



## Mike Bertelson (Jan 24, 2007)

I live in CT and taxes are 12.2% of my bill. :eek2:

Although the link above says it should be 11.25% but it calculates out to be 12.2%.

My bill shows the credit of $5.00 for the primary receiver and if I calculate it with and without that it's either 12.2% or 11.72%. :shrug:

Mike


----------



## profbobo (Jan 22, 2006)

lee78221 said:


> I did some googling and it looks like we pay 6.25% in a Sales Tax(Texas).
> 
> http://2getdtv.com/directv/taxes.html


The table lists Indiana's old tax rate of 6%. The Indiana sales tax rate increased to 7% on April 1, 2008. My DirecTV bill reflects this new rate.


----------



## dettxw (Nov 21, 2007)

My online bill simply shows sales tax of $1.29 on a $160+ bill that includes the Protection Plan.
Don't know if tax applies to all items or not, just not much info on the website.
Doesn't mention who it's for, though I live in suburban Oklahoma City.


----------



## armophob (Nov 13, 2006)

I'm not shy. Here is my last bill in Fort Pierce, FL


10/28 11/27 PREMIER Monthly 109.99 
10/28 11/27 DIRECTV HD EXTRA PACK Monthly 4.99 
10/28 11/27 HD Access Monthly 10.00 
10/28 11/27 DIRECTV DVR Service $6.00/mo Incl Base Pkg 0.00 
10/28 11/27 DIRECTV on DEMAND Tune to Ch. 1000 for more info 0.00 
Fees 

10/29 Leased Receiver 5.00 
10/29 Primary Leased Receiver 5.00 
Adjustments & Credits 

10/27 BellSouth Answers(SM) Savings -10.00 Credit
10/29 Primary Leased Receiver -5.00 Credit
Taxes 

Sales Tax 0.33 
Communications Service Tax 16.47 

AMOUNT DUE	$136.78


----------



## trainman (Jan 9, 2008)

Currently zero percent in California, but who knows what they'll do in the future to attempt to balance the state budget...


----------



## JLucPicard (Apr 27, 2004)

ejjames said:


> Mods, delete this if it is out-of-bounds, but I was wondering what people pay in taxes from state to state?
> 
> I live in Minneapolis, MN, and it looks like I pay 6.5%, which is standard sales tax here. I see no other fees.
> 
> ...


Cable has additional fees related to the municipalities in which they operate (partially because they use the city's physical infrastructure to deliver their signal - telephone poles and what have you). It's been so long since I've had cable that I don't remember if these are the franchise fees or if those are in addition to the above.

There are some states (Florida, I think maybe Tennessee) where the cable companies have gone to the state governments and made a case that it creates an unfair playing field that they are subject to such fees/taxes yet they don't apply to satellite. Whine, complain, spread some money around, grease some palms and Voila! - satellite taxes. Bogus surcharges to your satellite bill for no reason other than to "make up the gap" with the cable company.

Hopefully the powers that be in Minnesota won't fall for that crap.


----------



## Shades228 (Mar 18, 2008)

There are many types of tax based on the state. Florida is the highest with 13.17% with a communication sales tax. I know Conneticut just added another tax on top of what they used to pay as well. Entertainment tax's apply as well.


----------



## Lodi25 (Jun 23, 2009)

How much is the sales tax on each receiver? Is it different on each state?


----------



## Jeremy W (Jun 19, 2006)

Lodi25 said:


> How much is the sales tax on each receiver? Is it different on each state?


When you "buy" it? Or are you talking about the lease/mirroring fee?


----------



## Lodi25 (Jun 23, 2009)

Jeremy W said:


> When you "buy" it? Or are you talking about the lease/mirroring fee?


I know the lease or the mirroring fee is 5 dollars. I'm asking about the sales tax. I pay about 1 dollar & 80 cents in sales tax. I'm just trying to fine out how much it is per receiver. NOTE: I live in California.


----------



## Shades228 (Mar 18, 2008)

So take 1.8 / Total bill to get your %. Then get the cost that way. However not all states charge lease tax so you might be paying $0 in tax on an additional receiver but paying 1.8 from your base package. You could be paying $0 in tax on your base package and paying it all because of lease tax's in your state.


----------



## ctaranto (Feb 7, 2008)

In MA:

It's 5% of programming, but not the protection plan (that's tax free).

Sales tax in MA is now 6.25% (recently increased), but Sat is apparently still 5% (and it's called a MA DBS Gross Revenue Tax).

PLUS HD DVR Monthly - $75.99
DIRECTV Protection Plan Monthly - $5.99
DIRECTV HD Extra Pack Monthly - $4.99
DIRECTV DVR Service $6.00/mo Include in Base Pkg - $0.00
DIRECTV on DEMAND Tune to Ch. 1000 for more info - $0.00

Fees:
Primary Leased Receiver - $5.00

Adjustments & Credits:
Primary Leased Receiver - (-$5.00)

Sales Tax - $0.00
Massachusetts DBS Gross Revenue Tax - $4.05

Amount Due: $91.02

(($75.99 + $4.99) * 1.05) + 5.99 = $91.019 = $91.02

/c


----------



## Jeremy W (Jun 19, 2006)

Lodi25 said:


> I know the lease or the mirroring fee is 5 dollars. I'm asking about the sales tax. I pay about 1 dollar & 80 cents in sales tax. I'm just trying to fine out how much it is per receiver. NOTE: I live in California.


In Michigan, we get charged the regular sales tax rate (6%) on lease fees only. Mirroring fees are not taxed, and neither is programming.


----------



## drpjr (Nov 23, 2007)

In Sacramento, Kally-fornia I pay .44c on a $141.41 bill. Must be a local city tax.


----------



## RACJ2 (Aug 2, 2008)

In the Dallas, TX area I pay 6.25% on the programming and 8.25% on the leased receiver charge. The 6.25% is the state tax and the local taxes are 2%. Here are a couple items from my bill:

Date--------- Access Card----- Description------- Price---- Tax
11/09/2009 XXXXXXXXXXXX Primary Leased Rec $5.00 $0.41
11/09/2009 XXXXXXXXXXXX PLUS HD DVR - Ch $75.99 $4.75


----------



## islesfan (Oct 18, 2006)

Zip, Zero, Nada.

Love living in Nevada!


----------



## RACJ2 (Aug 2, 2008)

islesfan said:


> Zip, Zero, Nada.
> 
> Love living in Nevada!


You don't even get charged the state sales tax rate of 6.85%? That's great! We don't have a state income tax (like Nevada), but we do get charged a state sales tax on most items except food.


----------



## Marvin (Sep 14, 2003)

ciurca said:


> It varies from state to state, based upon what legislation the individual states pass. I don't believe I pay any in MD.


Theres a tax on live PPV events purchased in MD.


----------



## Mike Bertelson (Jan 24, 2007)

http://www.stopsatellitetax.com/talking_points.php


----------



## Montezuma58 (May 24, 2004)

My bill lists $0.43 for sales tax. My total bill is $104.41. I'm not sure what rate they are using and what they are charging tax on. But it is much less than the 4% portion of the sales tax here.


----------



## Shades228 (Mar 18, 2008)

Chances are that 43 cents is coming for leased fees. Which would be 8.6% if it was just 1 additional.


----------



## harsh (Jun 15, 2003)

Note that some states charge property taxes on owned equipment and some states charge taxes on leased equipment but not owned equipment.


----------



## jessshaun (Sep 14, 2005)

Nothing here in Illinois.

Current Charges & Fees	104.99
Adjustments & Credits	-5.00
Taxes 0.00 
Amount Due	$99.99


----------



## cartrivision (Jul 25, 2007)

In California we pay no taxes on programming fees, and pay state and local sales tax on the $5/mo lease fee for leased receivers (but not on the $5/mo mirror fee for owned receivers).


----------



## Jhon69 (Mar 28, 2006)

trainman said:


> Currently zero percent in California, but who knows what they'll do in the future to attempt to balance the state budget...


The last thing I have heard California is going to withhold 10% of everyone's income from their checks.:eek2:

Of course they said this is not a tax(of course it's not they now describe a tax as something else,so you don't think it is) and we are supposed to get that money back at the end of the year.So Ho! Ho! Ho! Merry (frickin) Christmas! California!.


----------



## cartrivision (Jul 25, 2007)

Jhon69 said:


> The last thing I have heard California is going to withhold 10% of everyone's income from their checks.:eek2:
> 
> Of course they said this is not a tax(of course it's not they now describe a tax as something else,so you don't think it is) and we are supposed to get that money back at the end of the year.So Ho! Ho! Ho! Merry (frickin) Christmas! California!.


They are not withholding another 10% of everyone's income, or even withholding 10% of everyone's income. They are increasing the amount that is withheld by 10%, which will either give you a bigger refund or make you owe less when you file your income taxes, or you can simply adjust your payroll withholding so that it comes out to an amount that is about equal to what you expect to owe at the end of the year.

Everyone is still free to file a W4 form to increase or decrease the amount of state withholding on their paycheck, as long as they withhold at least 90% of the total income taxes that are owed at the end of the year. So if you don't want your state withholding to increase by 10%, file a new W4.


----------



## durl (Mar 27, 2003)

Sales Tax and "Satellite Programming Tax" in Tennessee. Interesting that they changed the name of the "Satellite Privilege Tax" to something less insulting.

Totals over 8%. It's absurd.


----------



## BattleScott (Aug 29, 2006)

cartrivision said:


> Everyone is still free to file a W4 form to increase or decrease the amount of state withholding on their paycheck, as long as they withhold at least 90% of the total income taxes that are owed at the end of the year. So if you don't want your state withholding to increase by 10%, file a new W4.


That's not very good advice. Why adjust Federal withholding to compensate for increased state withholding? 
It would be much better just to file a new DE4 and only have their state withholding adjusted.


----------



## FHSPSU67 (Jan 12, 2007)

6% on everything in good ol PA.


----------



## islesfan (Oct 18, 2006)

RACJ2 said:


> You don't even get charged the state sales tax rate of 6.85%? That's great! We don't have a state income tax (like Nevada), but we do get charged a state sales tax on most items except food.


We make it up in gas taxes! Actually, though, as a tax haven, you really can't beat NV. (Don't judge us by Harry Reid  )


----------



## Jhon69 (Mar 28, 2006)

cartrivision said:


> They are not withholding another 10% of everyone's income, or even withholding 10% of everyone's income. They are increasing the amount that is withheld by 10%, which will either give you a bigger refund or make you owe less when you file your income taxes, or you can simply adjust your payroll withholding so that it comes out to an amount that is about equal to what you expect to owe at the end of the year.
> 
> Everyone is still free to file a W4 form to increase or decrease the amount of state withholding on their paycheck, as long as they withhold at least 90% of the total income taxes that are owed at the end of the year. So if you don't want your state withholding to increase by 10%, file a new W4.


Oh that's all they are doing? thank you for the explanation.....I feel better now.....NOT!...:eek2::ramblinon:nono2:


----------



## bobnielsen (Jun 29, 2006)

Only sales tax (varies by area, 8.6% here in Kitsap county) on lease fees in WA (no state income tax but nearly everything else gets hit).


----------



## rudeney (May 28, 2007)

I pay state sales tax of 4% (no local taxes) only on the lease/mirror fees. It's calculated before the primary receiver lease fee is credited back. So, on 6 receivers, I pay 4% on $30 or $1.20. I know that sounds cheap, but don't worry - they make it up on out *9%* sales tax that we pay on _everything else_ we buy.


----------



## drpjr (Nov 23, 2007)

drpjr said:


> In Sacramento, Kally-fornia I pay .44c on a $141.41 bill. Must be a local city tax.





cartrivision said:


> In California we pay no taxes on programming fees, and pay state and local sales tax on the $5/mo lease fee for leased receivers (but not on the $5/mo mirror fee for owned receivers).


??? All of my boxes are owned. I want my .44c back.


----------



## Montezuma58 (May 24, 2004)

rudeney said:


> I pay state sales tax of 4% (no local taxes) only on the lease/mirror fees. It's calculated before the primary receiver lease fee is credited back. So, on 6 receivers, I pay 4% on $30 or $1.20. I know that sounds cheap, but don't worry - they make it up on out *9%* sales tax that we pay on _everything else_ we buy.


This is making me more confused. If my taxes were calculated the same way I would be paying $1 instead of $0.43. The 43¢ just does not correspond with anything on my bill using either the state, county, or city (which I'm not supposed to be charged anyways) sales taxes. Oh, well I guess I'll just let it slide I would hate to question it then end up having my bill go up.


----------



## Rich (Feb 22, 2007)

TBlazer07 said:


> NJ is 0% on DirecTV for some strange reason but I am sure that will change with the new Governor. The only tax I am billed is on the $5 lease fees (all my dvr's except 1 are owned so I only pay 35cents tax on that one) and the Protection Plan (42cents).
> 
> D* is probably the only thing NOT taxed (other then food and clothing) which is strange.


Shhhh.

Rich


----------



## cartrivision (Jul 25, 2007)

BattleScott said:


> That's not very good advice. Why adjust Federal withholding to compensate for increased state withholding?
> It would be much better just to file a new DE4 and only have their state withholding adjusted.


I very clearly advised to adjust the state withholding, not the fed withholding, (even though I referenced the incorrect form number).


----------



## rudeney (May 28, 2007)

Montezuma58 said:


> This is making me more confused. If my taxes were calculated the same way I would be paying $1 instead of $0.43. The 43¢ just does not correspond with anything on my bill using either the state, county, or city (which I'm not supposed to be charged anyways) sales taxes. Oh, well I guess I'll just let it slide I would hate to question it then end up having my bill go up.


Remember that Alabama only taxes payments for tangible goods (lease fees included). Services are not taxed unless there is a specific tax for that type of service like there is for many utilities (cable, phone, gas, power, etc.)

Although they probably _should_, it appears that D* does not collect local county/city taxes. I can understand why they don't because it can be very confusing, especially where leases are concerned. For example, the municipality I live in has a higher tax on leased goods than their sales tax rate for "purchases". For D* to be able to figure all this out for the hundreds of thousands of different taxing authorities all over the country would be very difficult. Also, like many companies, they don't bother to deal with the local tax authority unless they have a business presence there. In my case, our installer's offices are in the next county over.


----------



## Montezuma58 (May 24, 2004)

rudeney said:


> Remember that Alabama only taxes payments for tangible goods (lease fees included). Services are not taxed unless there is a specific tax for that type of service like there is for many utilities (cable, phone, gas, power, etc.)
> 
> Although they probably _should_, it appears that D* does not collect local county/city taxes. I can understand why they don't because it can be very confusing, especially where leases are concerned. For example, the municipality I live in has a higher tax on leased goods than their sales tax rate for "purchases". For D* to be able to figure all this out for the hundreds of thousands of different taxing authorities all over the country would be very difficult. Also, like many companies, they don't bother to deal with the local tax authority unless they have a business presence there. In my case, our installer's offices are in the next county over.


I looked back where I ordered a remote and they charged me 8.5% sales tax (it should have been 5.5% if they charged the correct tax). 8.5% of $5 works out to the $0.43 that shows on my monthly bill. I have 2 leased receivers and 3 owned receivers on my account. It looks like they are trying to collect taxes for the city of Huntsville or city of Madison (both are currently 8% although Madison recently voted to raise theirs to 8.5% but that's not effective yet). Since my mailing address is Madison yet I'm a county resident I often incorrectly get charged the city of Madison rate. DTv does have a call center in Huntsville. I suspect I'm getting slightly undercharged overall so I'm not going to complain.


----------



## rudeney (May 28, 2007)

Montezuma58 said:


> I looked back where I ordered a remote and they charged me 8.5% sales tax (it should have been 5.5% if they charged the correct tax). 8.5% of $5 works out to the $0.43 that shows on my monthly bill. I have 2 leased receivers and 3 owned receivers on my account. It looks like they are trying to collect taxes for the city of Huntsville or city of Madison (both are currently 8% although Madison recently voted to raise theirs to 8.5% but that's not effective yet). Since my mailing address is Madison yet I'm a county resident I often incorrectly get charged the city of Madison rate. DTv does have a call center in Huntsville. I suspect I'm getting slightly undercharged overall so I'm not going to complain.


It does sound like they are charging you the local taxes, so they must have a business presence there. An interesting thing about distant companies that collect sales tax is that they often do not remit them to the local authorities, and when they do, they sometimes remit it to the wrong ones. For example, I live in the city of Helena. Whenever I lease a car, I get to pay a higher than normal tax (4.875%) because of the higher tax in Helena. However, I once contacted the city and discovered that very few leasing companies actually remit the tax to them. They've never received a dime for Toyota/Lexus, but there are obviously leases for them there.

Another issue is that many residents around here live in the city of Hoover, but their ZIP codes always pull up as "Birmingham", so taxes are often remitted to the wrong city. In fact, there was a lawsuit over this a while back where Hoover tried to get Birmingham to pay them back some of that. It turned ugly and there was actually discussion of forcing their residents to pay the tax, even though they had already paid it to the retailers. Apparently, paying the tax is ultimately the consumer's responsibility even though the retailers collect it.


----------

