Taxes & Fees Federal and State Fees, Taxes, Surcharges

Federal Subscriber Line Charge (SLC)
A flat monthly charge, established by the Federal Communications Commission (FCC), assessed directly to customers to help local telephone companies recover some of their costs in constructing and maintaining the local network. The SLC is part of the FCC's campaign to promote competition in the U.S. telecom industry and reflects its intent to make end-user customers more directly responsible for these costs.

Federal Access Recovery Charge (ARC)
The ARC is a charge that was adopted by the FCC as a part of its reforms to intercarrier compensation. The ARC may be billed as a separate charge or billed in combination with the SLC. The FCC sets the rates for the ARC each year.

Federal Universal Service Charge (FUSC)
The federal government established national programs to support universal telephone service. The federal Universal Service Fund assists with the costs of providing "affordable" services to low-income individuals and to residents in rural, high-cost areas. In addition, Congress has expanded the program to help schools, libraries and rural health care providers obtain advanced services, such as Internet access. All providers of telecommunications services contribute to the support of these programs. The amount of monthly FUSC on your bill depends on the services you order and the number of telephone lines you have.  Click here to see the latest FUSC charge.

Federal Excise Tax
A federal tax that applies to local telephone service billed separately from long distance service. See I.R.S. Publication 510 at www.irs.gov for more details.

NC Telecommunications Tax
North Carolina Sales tax imposed on telecommunications services. NC G.S. 105-164

NC Cable TV Tax
North Carolina Sales tax imposed on video programming services. NC G.S. 105-164

E911 Charge
A state/local government fee used to fund emergency 911 services, such as fire and rescue.

Telecommunications Relay Service Surcharge
A state charge used to fund relay centers and special equipment that assist hearing- and speech-impaired persons to communicate over the national telecom network. NC G.S. 62-157