Tax Methodology.
How Vocatech allocates charges between its two products and among taxing jurisdictions.
Published in accordance with New York TSB-M-17(3)C, (6)S. Effective with the two-product billing structure.
In plain English
Every Vocatech seat is two products billed together: the Voice Line Service ($9.95 per seat per month), which is the regulated phone line, and the Collaboration Suite ($20.00 per seat per month), which is the software that runs on top of it.
Vocatech pays the telecommunications taxes and regulatory fees that apply to the Voice Line Service. We do not add recovery fees or surcharges to your bill. The only separate line on your invoice is sales tax where required by your service address.
This page explains how we determine which charges are telecommunications and how calls are allocated among taxing jurisdictions. It exists because New York State guidance (TSB-M-17(3)C, (6)S) asks providers to make the basis of their allocation available to customers.
The two products
Voice Line Service, $9.95 per seat per month. The telecommunications product: PSTN calling with unlimited domestic calls, a direct-dial number, E911, caller ID, call waiting, hold, transfer, forwarding, voicemail, dial tone and feature access codes, auto attendant and IVR, hunt groups, call center queuing, and the softphone dialing function. All telecommunications taxes are computed on this product and on telecom add-ons (additional numbers, virtual fax, paging, analog line support).
Collaboration Suite, $20.00 per seat per month. The software and information-services product: Webex collaboration, the Callpop desktop app, Textdock business SMS and WhatsApp, AI transcription and call summaries, call recording storage and retrieval, Reports and analytics, the admin portal, and the developer API. The Suite is treated as remotely accessed software for sales tax purposes.
The two products are defined in our Terms of Service, stated separately on every invoice, and recorded separately in our books.
How calls are allocated among jurisdictions
Vocatech allocates Voice Line receipts among taxing jurisdictions using a complete census of the call detail records our platform generates for every call, not a sample or an estimate.
Each completed call is classified to exactly one jurisdiction: the customer end by the verified service address we keep on file, and the far end by the number's area code against the official NANPA numbering database (area codes do not cross state lines, which makes this exact at the state level). Calls where the far end cannot be classified are resolved in favor of the taxing jurisdiction, never against it.
The resulting percentages are computed per customer, per month, and applied to that customer's Voice Line receipts. The same census supports our federal Universal Service Fund reporting and our New York State and New York City filings, and is refreshed continuously, which exceeds the at-least-annual refresh New York guidance requires.
Sales tax is collected on the full invoice price where required by the service address. If you are tax-exempt, send your state-issued exemption certificate to office@vocatech.com.
Questions
If you have a question about how a charge on your invoice is taxed, call 718.395.1550 or email office@vocatech.com and a real person will walk you through it.
Also see our Terms of Service, 911 / E911 Disclosure and Pricing.