
Well actually, the money is not free. Rather, more than likely, you have already paid for it. But come to find out, you shouldn't have. Make sense?
Several recent federal court decisions have held that the tax does not apply to long-distance service as it is billed today. The IRS is following these decisions and refunding the portion of the tax charged on long-distance calls. The IRS is also refunding taxes collected on telephone service under plans that do not differentiate between long distance and local calls including bundled service.
Therefore, for 2006, the IRS allowed a tax refund in standardized amounts between $30 and $60 --- these amounts are based on actual telephone usage data, and the amount applicable to a family or other household reflects taxes paid on long-distance or bundled service by similarly sized families or households. Using this amount may be the easiest way for taxpayers to request their refund and avoid gathering months of old phone records. Meaning, you don't have ot dig through years of bills to determine the amount of excise taxes you paid (although you can if you are still interested)
The Individual taxpayers can take a standard amount from $30 to $60 based on the number of exemptions they are eligible to claim on their 2006 tax return. For those who can claim:
One exemption, the standard refund amount is $30
Two exemptions, the standard refund amount is $40
Three exemptions, the standard refund amount is $50
Four exemptions or more, the standard refund amount is $60
And again, even if you already filed your 2006 return (I sure hope you have), it's not too late to request this refund. Simply submit a completed Form 8913 along with an amended return Form 1040X
Assuming your 2006 returns are accessible, expect the process to take you about 15-30 minutes.