Obtaining Exemptions From Communications & Utility Taxes

Obtaining Exemptions From Communications & Utility Taxes

February 26, 2014

UCLA is exempt from the federal communications excise tax (FCET) and the Los Angeles city utility tax (LACUT) for telephone, cell phone, gas and electricity bills.

If you manage a University telephone account that is being charged the FCET and/or LACUT, please do the following:

Task  Steps 

1.  Write the service provider.

 

Send the service provider a letter requesting an exemption from the FCET and/or LACUT as well as a refund of FCET and/or LACUT paid for the preceding three-year period (if applicable). 

Sample letters have been drafted for your convenience (see Related Information). Please provide information in the fields with brackets.

For cities other than Los Angeles, please contact Tax Services.

2.  Provide relevant documents.

Include copies of the following items with the letter (links to relevant documents are provided for each):

  1. A recent bill indicating the improper FCET and/or LACUT charges.
  2. Completed Certificate of Exemption from Federal Excise Tax On Charges for Communication Services.
  3. UCLA's determination letter from the City of Los Angeles, Office of Finance.
  4. Article 1.1, Section 21.1.2 of the Los Angeles Municipal Code (for LACUT exemptions).
  5. The University’s Internal Revenue Code Section 501(c) (3) Determination Letter.

3.  Follow up if refunds are not received.

If University accounts have not been exempted or credits and/ or refunds have not been received within two billing cycles, follow up with the service provider.

If you are unable to obtain an exemption and refund after following the above procedures, please contact the tax consultant listed below in Tax Services for assistance.