Understanding Taxes, Surcharges, and Fees

Apart from the standard monthly service charges billed by Vive Communications LLC., your monthly invoice may include surcharges, taxes, fees, and additional charges. These charges are determined by factors such as your service type and geographical location. Some of these charges may appear as separate line items on your invoice. Here are some examples:

Federal Communications Program Fees

The Telecommunications Act of 1996 mandates Vive Communications to contribute to the Federal Universal Service Fund (“FUSF”), aimed at ensuring affordable phone service for all Americans. The FUSF supports various groups, including those with low incomes, residents in high-cost areas, schools, libraries, and rural healthcare providers. The administration of the FUSF is delegated to the Universal Service Administrative Company (“USAC”) by the Federal Communications Commission (“FCC”). Vive Communications bills the FUSF surcharge separately in accordance with FCC regulations. This surcharge is calculated based on the quarterly contribution factor set by the FCC.

Cost Recovery

An Administration Regulatory Fee (“ARF”) is applied to recover costs incurred by Vive Communications for various regulatory programs and administrative expenses, such as services for the sight and hearing impaired, local number portability, and regulatory fee obligations to the FCC.

State & Local Surcharges

State Universal Service Fund (USF) contributions may be required from Vive Communications to support universal service and other state-level programs. Additionally, contributions to State Telecommunications Relay Services (TRS) Funds may be necessary to support local transmission services for individuals with hearing or speech challenges.

State & Local Taxes

Vive Communications collects state and local sales and use taxes as required by law, which are generally imposed on the sale or use of tangible personal property and certain services. Some jurisdictions also levy communications services taxes specifically on communications services.

Gross Receipts Taxes

Certain states impose gross receipts taxes on communications service providers, which may or may not be passed on to end users.

Local Utility Taxes

In select states, cities, and counties impose local utility taxes, which Vive Communications collects from customers as required by applicable law.

Local License Taxes

Some cities and counties levy local license taxes, which Vive Communications collects from customers as necessary.

E911 Fees

State and local jurisdictions impose E911 fees to fund emergency telephone services. Vive Communications collects these fees from customers as required by law.

See Regulatory Fee Fact Sheet →