Are you paying tax for XM satellite radio?

FlashG

Platinum Member
Dec 23, 1999
2,709
2
0
I just updated my subscription for 3 more years at $9.99/mo and was charged $413.55. According to my calculations that is almost $54 or 14% in taxes over the $359.64 subscription rate.

How in he!! is 14% a reasonable tax rate and is it real or a scam? Can anyone help me justify this? I really like the service but I don?t like getting scammed.
 

michaels

Banned
Nov 30, 2005
4,329
0
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Now way would I pay for 3 years of service when I have no idea what direction it could head or what the comp will offer.
 

sdifox

No Lifer
Sep 30, 2005
99,447
17,582
126
err, that is just gst and pst, just like anything else you buy in Ontario or any other province with an 8% sales tax (plus 6% fed).
 

Spikesoldier

Diamond Member
Oct 15, 2001
6,766
0
0
yes

not only are you charged sales tax on it, you are also charged some bs state subscription tax on it as well, at least here in TX. but i remebmer theres many other states that do it as well..

it taxes my xm subscription and mmo (online) subscriptions.

i buy the pre paid game cards whenever i can..
 

altonb1

Diamond Member
Feb 5, 2002
6,432
0
71
Originally posted by: FoBoT
so the OP is in canada? i don't think i paid any tax , but i'd have to check

I've never paid tax on my subscription, as far as I can remember. I have 2 radios--the main plan is paid annually in April and the other is billed quarterly. My last quarterly bill was $20.97, I'm pretty sure.
 

FlashG

Platinum Member
Dec 23, 1999
2,709
2
0
Originally posted by: FoBoT
so the OP is in canada? i don't think i paid any tax , but i'd have to check
No I'm in Florida. It looks like I'm going to take michaels advice and scale back to 1 years service and see what happens.

 

sdifox

No Lifer
Sep 30, 2005
99,447
17,582
126
maybe you should just call xm up and ask them to explain it to you, maybe there is no tax on 1 year?
 

sao123

Lifer
May 27, 2002
12,653
205
106
theres a $15 re-activation fee for each radio on your subscription.
that leaves about a 10% tax? i dunno the sales tax rate for florida tho


the 3 year program is wise tho, because the rate is 9.99 per month instead of the 12.95 per month