Government proposes taxing cell phones as a “fringe benefit”

"If your family earns less than $250,000 a year, you will not see your taxes increased a single dime. I repeat: not one single dime."  – Barack Obama, Feb. 24, 2009

If you take a call from your children on your company cell phone, the IRS now wants its cut.

Under a new proposal from the Internal Revenue Service, the use of employer-issued cell phones will now be federally taxed as a fringe benefit.  According to The Wall Street Journal, a worker in the 28% tax bracket, whose wireless device costs the company $1,500 a year, could see $105 in additional federal income tax.  To avoid the new tax, you must provide the IRS with proof you used personal cell phones, not the company phone, for non-business calls during work hours.

Sort of makes "not one single dime" sound a lot like "read my lips."

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