California abandons plan to tax text messages

The California Public Utilities Commission said a new FCC ruling prevented the state from levying a tax on text plans. The state hoped to add new monthly fees onto wireless customers’ bills to increase funds for programs that bring connectivity to underserved residents. Regulators were scheduled to vote on the measure on January 10, 2019.

The FCC put the text tax’s future in doubt when it issued a new rule on December 12 determining text messages constitute an “information service” — not a “telecommunications service.” CPUC commissioner Carla Peterman withdrew the text tax proposal “in light of the FCC’s action.”

Read more… (CNN)

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