When subscribing to telephony services, it’s common to see various taxes, fees, and recovery charges on your invoice. These charges help cover regulatory obligations, emergency services, and the cost of maintaining a reliable network.
At Ringover, these charges are divided into two main categories:
- Government-Imposed Taxes and Fees
- Recovery Fees (Non-Government-Mandated Charges)
Below, we explain each category in detail, why they are applied, and how they impact your invoice.
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1. Government-Imposed Taxes and Fees
These are official charges required by federal, state, and local governments to fund public services and regulatory programs. The amount of these taxes varies depending on government regulations and your billing address.
Federal Taxes
Federal Universal Service Fund (FUSF)
The Federal Universal Service Fund (FUSF) was established to ensure that all consumers, particularly those in rural and low-income areas, have access to quality telecommunications services.
- The FCC (Federal Communications Commission) regulates this fund
- All telecommunications providers, including Ringover, must contribute to the FUSF
- The contribution percentage is updated periodically by the FCC
💡 How It Appears on Your Invoice:
- This charge is calculated as a percentage of your bill based on the FCC’s current rate
Federal Regulatory
Fee This fee helps cover the administrative costs incurred by the FCC for regulatory and oversight activities.
💡 How It Appears on Your Invoice:
- A fixed amount applied per user or as a percentage of your bill
- All mandatory taxes and fees—including the 911 Fee—are calculated based on your billing address
- These charges appear as separate line items on your invoice
State and Local Taxes
Each U.S. state and local jurisdiction may impose specific telecommunications taxes and fees, such as:
- State sales taxes on telephony services
- State regulatory fees to fund public utilities commissions
- Local Utility Users Tax (UUT)
- Other region-specific surcharges
911 Fee
The 911 Fee is a government-mandated charge that helps fund emergency response services such as fire, police, and ambulance dispatch centers.
- This fee is imposed at the local or state level
- The amount varies depending on the jurisdiction
💡 How It Appears on Your Invoice:
- Listed as "911 Fee", this charge is collected by Ringover and remitted to the appropriate government entity
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2. Recovery Fees (Non-Government-Mandated Charges)
In addition to government-imposed taxes, Ringover applies Recovery Fees to offset the costs of regulatory compliance, network infrastructure, and emergency service support.
These fees are not taxes and are not mandated by any government entity, but they are necessary to maintain compliance and deliver secure, high-quality communication services.
Compliance and Administrative Cost Recovery Fee (CRF)
The Compliance and Administrative Cost Recovery Fee (CRF) helps Ringover recover costs associated with:
Regulatory Compliance
- Ensuring compliance with FCC regulations
- Caller ID verification and anti-fraud measures
- Privacy laws and data protection
- Numbering regulations for assigning phone numbers
Network Management & Infrastructure
- Maintaining phone numbers and call routing systems
- Managing third-party carrier network costs
- Upgrading and securing data centers and network infrastructure
💡 Billing Information:
- Cost: $2.97 per user per month
- This fee is billed monthly per user (or annually for customers on yearly plans)
- The CRF is not a tax and is not mandated by any government entity
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3. E911 Regulatory Recovery Fee
The E911 Regulatory Recovery Fee supports the operation and maintenance of emergency calling services, ensuring compliance with FCC-mandated 911 and E911 regulations.
What This Fee Covers
- Maintenance and enhancement of E911 systems
- Software and hardware updates to improve emergency call routing and location tracking
- Compliance with government regulations for 911 emergency services
💡 Billing Information:
- Cost: $0.97 per user per month
- This fee is billed monthly per user (or annually for customers on yearly plans)
- This charge is essential for providing emergency call services (911/E911)
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4. Canada: Taxes and Recovery Fees 🇨🇦
Taxes and recovery fees also apply to customers in Canada, as outlined in our Terms and Conditions. The type and amount of these charges vary depending on the province linked to your billing address.
Canadian Taxes
Federal GST / Harmonized HST
- GST applies in most provinces.
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HST applies in the following “participating provinces”:
- New Brunswick
- Newfoundland and Labrador
- Nova Scotia
- Ontario
- Prince Edward Island
💡 How It Appears on Your Invoice:
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- Listed as "GST" or "HST" based on your billing address.
Provincial Sales Taxes (PST / QST)
In non-participating provinces, additional provincial taxes may apply:
- For example, Québec applies QST alongside GST.
- Other provinces may apply PST.
💡 How It Appears on Your Invoice:
- Listed as "PST" or "QST" depending on your province.
- For rates of each province, see GST/HST rates. To learn more about the basics of GST/HST, click here.
Canadian Recovery Fees
Compliance and Administrative Cost Recovery Fee (CRF)
Covers costs related to regulatory compliance, infrastructure, and fraud prevention in Canada.
- 💡 $2.97 per user/month or billed annually.
E911 Regulatory Recovery Fee
Supports Canadian emergency calling systems and location tracking.
- 💡 $0.97 per user/month or billed annually.
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5. Frequently Asked Questions (FAQ)
I have users in different states. How will taxes be calculated?
- Taxes and fees are calculated based on the billing address on file, regardless of where individual users are located.