OLR Report 2014-R-0134 answers the question: What fees and state taxes apply to telecommunications (including cable TV and satellite TV) and energy utility services?
The report discusses the fees and taxes that apply specifically to companies providing these services. The companies also pay other taxes, e.g., the property tax, and typically pass these costs on to their customers although they do not itemize them on their bills.
There are several charges imposed on telecommunications services pursuant to federal and state law. In several cases, it is up to the telecommunications company to decide whether to pass these costs on to their customers.
The 6.35% sales tax applies to telecommunications services, which include those provided by telephone and other telecommunications companies, cable TV companies, and other satellite TV companies such as the DISH network.
The bulk of electric company bills consists of the generation service charge (the cost of the power itself) and transmission and distribution charges (the cost of shipping the power from the power plant to the substation serving a neighborhood and from the substation to the individual home or business, respectively).
Electric and natural gas services are subject to the gross earnings tax (CGS § 12-264 et seq.).
For more information, read the full report.
