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pay as you go - taxes question

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pay as you go - taxes question

I signed up for auto pay for my pay as you go smartphone and was assessed $65.25 in January which I assumed was my $60 fee and taxes.  I cancelled auto pay because I still had credit from my previous pay as you go phone.  They took out my Feb payment but only took out $60. no taxes.  Why?  I am trying to bring my credits to 0 so I can do auto pay again; but if I am going to be charged taxes, maybe I should rethink my plans.  Can anyone answer this.

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Accepted by nancy1050
‎09-30-2015 1:39 AM

Re: pay as you go

Whenever you make your pymt the sales tax for your county will automatically be calculated and added to your pymt based on the zip code you provide for your card. So if you set up auto pay with a card that has a billing address in California, no tax but with a card that has a billing address in Kentucky, tax. Note here California and Kentucky are just example of states that has sales tax or not. For your case, using the same info as your first pymt to set up auto pay will result in $65 and change every 30 days
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Accepted by nancy1050
‎09-30-2015 1:39 AM

Re: pay as you go

Hello @nancy1050 

 

I believe what you're seeing is this: When you add funds to your Go Phone balance, a sales tax and a 911 fee is charged, but when your plan renews, it deducts exactly $60 from your account balance, since you already paid taxed when you purchased your refill.

 

Dmitriy


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