New Texas Law - Prepaid Wireless Telecommunications Fee

 

Austin, Texas - Retailers who sell prepaid cell (mobile) phones, prepaid cards, or cards used to add minutes of service will soon need to collect a new fee from customers at the time of sale. Beginning on June 1, each retailer must:

  • Collect from the customer 2 percent of the purchase price of each prepaid wireless telecommunications service; and
  • Send the fees with the Report to the Texas Comptroller of Public Accounts.

 

The good news: to offset the costs of this new task, the retailer may deduct and keep 2 percent of the total prepaid wireless fees collected from customers. The very first Report is due on or before July 30, 2010, for the fees collected during the upcoming month of June. After that, each retailer will file Reports quarterly and pay the fees to the Comptroller on or before the 30th day of the month following each calendar quarter.

 

  • 1st Quarter (January 1 - March 31) Report is due on or before April 30.
  • 2nd Quarter (April 1 - June 30) Report is due on or before July 30.
  • 3rd Quarter (July 1 - September 30) Report is due on or before October 30.
  • 4th Quarter (October 1 - December 31) Report is due on or before January 30.

 

The Reports must be filed even if no fee is due. The fees that are sent to the Comptroller will help pay for local emergency services. If you have questions or would like more information, please call Comptroller staff at (800) 252-5555 or (512) 463-4600.