Archives

Taxes

Toll Line Access Charge (TLAC)
Description The federal TLAC in combination with the FUSC recovers 25% of the fixed cost of the wires to your house and business that allow you to make calls. 55% of these costs are covered by your fixed monthly local service charge. The remaining 20% is recovered by a combination of the NAF and the AUSF surcharge.
Rate $6.50 per single line for residential and business; $9.20 per line multiplied by a maximum of 5 for T1/DS1 or $46.00
Effective July 1, 2003
Network Access Fee (NAF)
Description A fee administered by the Alaska Universal Service Administrative Company which combines with other charges to support the costs of the network.
Rate Residential is $5.75; business per line is $5.75; PRI and T1/DS1, a maximum of 5 charges per PRI is $5.75 for each or a maximum of $28.75 total.
Effective August 1, 2015
Access Recovery Charge (ARC)
Description This federal fee recovers a portion of the costs incurred in the provisioning and maintenance of telephone service. It is administered by the Federal Communications Commission.
Rate Per Line:
$0.00 for MOA (Eagle River/Chugiak) customers
$0.00 for Mat-Su Borough including Talkeetna Multi-line 
$0.00 for Kenai Borough (Tyonek)
$0.86 for Denali Borough (Cantwell, Clear, Anderson, Healy) 
Single Line Business is $3.00 / Multi-line is $3.00
Effective July 1, 2023
Universal Access Surcharge (UAS)
Description The costs to operate Telecommunications Relay Service for the hearing and/or speech impaired are recovered by this Universal Access Surcharge.
Rate Voice Line (landline or VOIP), per line or trunk: $0.01 per month
Effective July 1, 2021
Local Sales Tax
Description MTA is required to collect local sales taxes on telephone services assessed on behalf of local boroughs and cities in Alaska. The money collected by MTA is passed through to the local borough and/or city.
Rate Local tax rates vary by municipality and borough.
Effective Local tax effective dates vary by municipality and borough.
Alaska Universal Service Fund (AUSF)
Description The RCA established the AUSF to promote universal telephone service in Alaska. This fund supports lower long-distance rates within Alaska.
Rate Approximately 10.0% on local, intrastate and mobile voice services.
Effective January 1, 2019
Federal Excise Tax (FET)
Description The revenue collected from the telephone excise tax goes into the general receipts of the U.S. Treasury.
Rate 3.00%
Effective July 31, 2006
Federal Universal Service Charge (FUSC)
Description The Federal Universal Service fund helps provide comparable telephone rates in rural areas throughout the nation by offsetting the high cost of providing service in these areas. MTA receives money from this fund to keep local rates affordable and comparable to rates in urban areas.
Rate 32.8%
Effective April 1, 2024
Cost Recovery Fee
Description

The Cost Recovery Fee (CRF) is a fee that MTA charges in order to recover various costs and expenses that it incurs in connection with legal and regulatory requirements. This fee is not a tax or surcharge required by the government.
Rate $1.00 per single line for residential service, $1.70 for business service, $32.73 per PRI arrangement.
Effective January 1, 2019
Regulatory Cost Charge (RCC)
Description The Regulatory Cost Charge provides funding to operate the Regulatory Commission of Alaska.
Rate 2.328% of total billing for intrastate (long distance) service charges.
Effective July 1, 2023
Enhanced 911 Emergency System Surcharge (E-911)
Description The costs to operate the E911 emergency response systems are recovered through this surcharge. The money MTA collects is passed through to the Anchorage, Kenai, and Mat-Su Boroughs who build and maintain these public service systems.
Rate Per Line: $1.25 for Mat-Su Borough; $2 for MOA (Eagle River/Chugiak) customers; $2 for Kenai Borough (Tyonek).
Effective July 1, 2022 for Mat-Su, December 1, 2016 for MOA, and July 1, 2015 for Kenai Borough.