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The Voice of the

Commonwealth's Counties

Communications Sales and Use Tax Bill to be Heard Tomorrow in Subcommittee

HB 1051 (Watts), legislation that modernizes the Communications Sales and Use Tax (CSUT) to reflect the present-day telecommunications world, will be heard tomorrow afternoon in the House Finance Committee’s Subcommittee #2.

Action Required – Contact Subcommittee Members today and express your support for HB 1051. VACo detailed the need to innovate the “typewriter tax” in a recent County Connections article.

TALKING POINTS

The bill updates the CSUT by removing the exemptions for audio and streaming services, and prepaid calling services.

Elimination of these exemptions was identified by a Department of Taxation study (mandated by the General Assembly) in 2015 as a way to stabilize declining revenues and remove the “competitive disadvantage” they place on providers of similar service, such as cable television and post-paid calling services.

KEY CONTACTS

House Finance Committee’s Subcommittee #2: Hugo (Chairman), Pogge, Cline, Fariss, Bloxom, Watts, Sullivan, Ayala, Ware

Also, please adopt a resolution showing your support. Here’s a template of a resolution counties may use. Send a copy of your resolutions to Dean Lynch at dlynch@vaco.org.

VACo Contacts: Joe Lerch, AICP and Katie Boyle

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