This probably called a fee, not a tax, but it is, and it is soaring.
"The U.S. government spent about $2.2 billion last year to provide phones to low-income Americans, but a Wall Street Journal review of the program shows that a large number of those who received the phones haven’t proved they are eligible to receive them.
The Lifeline program—begun in 1984 [under Reagan] to ensure that poor people aren’t cut off from jobs, families and emergency services—is funded by charges that appear on the monthly bills of every landline and wireless-phone customer. Payouts under the program have shot up from $819 million in 2008, as more wireless carriers have persuaded regulators to let them offer the service."
http://www.bizpacreview.com/2013/02/12/obama-phone-scam-cost-taxpayers-big-bucks-last-year-19952
2 comments:
Murray sez:
The program was stupid then and is even stupidier now!
I think this is a good example of corporate welfare--huge contracts for the cell phone companies, probably making them in China to save money.
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