Telephone service is a vital link to emergency services, government agencies and surrounding communities and the USF is a subsidy to make phone service available for all Americans. This includes consumers with low incomes, schools and libraries and rural health care providers. However, pay attention to this fee because companies have flexibility in passing this fee to customers. The company keeps the difference between the fees they receive and the charge they pay. Taxes You can't escape taxes by changing carriers.
Taxes vary by location but they are the same for all providers.
Taxes apply to both local and long distance companies operating within a state. Tax dollars go to the local governing body. To obtain information about state and local taxes listed on your phone bill, contact your local and state tax offices. These offices should be listed in the government section of your phone book.