State and Local governments can no longer depend on communications taxes of traditional wireline, wireless and even VoIP providers as reliable sources of revenue. Traditional voice services have been replaced almost entirely with new technologies like streaming and videoconferencing or being embedded into other cloud services and SaaS platforms. Communications services are increasingly pervasive and found in products, services, or apps
that were typically never considered to be a telco or communications offering. The adoption of communications-platform-as-a-service (CPaaS) solutions, which deliver communications services like voice, videoconferencing, SMS, and wireless connectivity through simple APIs, has allowed services to become embedded in a wide range of product categories. And that can make them UNEXPECTEDLY subject to communications tax!
To keep up, new rules and regulations are being introduced! Does this include you and your business’ services? If you incorporate voice calling, video chat, or messaging services into any of your CRM, SaaS, or marketing automation platforms, you may be subject to a wide array of communications taxes. Whether you participate directly in the communications space or plan to incorporate any communications features or streaming into your product or service, staying ahead of communications taxes will remain important.