US govt to repeal unpopular cell phone tax

US has so many tax provisions on its books, many of which are so un popular they only add to the usual sneer at the IRS (the nation’s tax collector agency). One of those quaint tax laws is the tax on corporate cell phones when used for personal purposes.

The law was issued in 1989 when George H. Bush (the real 41) was POTUS, and it was meant to be a luxury tax at a time when only a few wealthy folks could afford to use cell phones.  Today, every American has one (including babies in the womb it might seem) and nobody thinks cell phones are luxury items anymore (unless of course you get yours from Gucci or Louis Vuitton), and determining which call is corporate from which is private ! You’ll need accountant for that or else you’ll need more than the typical two cell phones many of us now have to carry in the first place, but I digress.

Anyway, it is quit heartening to hear the Obama administration is taking another step to keep its promise to simplify the nation’s tax law by repealing the obnoxious provision and setting tax payers free of a legal contraption no one can really fathom.

The repeal is expected to make it into the 2011 budget proposal from the white house and is expected to affect the 2010 taxes when they are due in April 2011.

The next act : repeal the alternative minimum tax.