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Sales & telecommunication taxes are taxes charged on the sale of a product or service. These taxes may be assessed at the State, County, and Municipal jurisdictional levels.
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Each jurisdiction may categorize Telnyx’s products differently, and these jurisdictions may have different regulations regarding the applicable taxes.

Telnyx is required to collect any applicable state and local taxes, telecommunications taxes, and other indirect taxes on the sale of its services in jurisdictions where it is determined to have nexus (economic presence or substantial presence) based on the address where the service or services are consumed by the customer.

Telnyx will use the address associated with your primary portal account for tax purposes by default.

If you are using Telnyx services in a location that differs from this address, you can add a service address to your portal account. Navigate to "Account Settings", click "billing" and then "service address".

Alternatively visit the link directly: https://portal.telnyx.com/#/app/billing/service-address

Adding a Service Address in the Mission Control Portal

The following criteria are used to calculate the tax amount:

In the Summary section of the monthly invoice you receive from Telnyx, you will see a line item for the total tax charge. The invoice will also include a dedicated section for tax charges showing the breakdown by tax type.

Telnyx will calculate and apply taxes to your account daily. We will deduct the tax amount from the customer’s balance based on usage and purchases on the following calendar day.

Since taxes are calculated based on multiple factors like service usage and effective tax rates, there is no way to provide an accurate estimate in advance.

Subject to all applicable laws and changes thereof, customers who qualify for tax exemptions should reach out to tax@telnyx.com with appropriate exemption certificates or documents.

No. Per our standard operating procedures, we do not adjust the billing or invoicing of a closed billing period. Your past months' taxes will not be recalculated and charged. No previous invoices will be regenerated.

The Universal Service Fund (USF) is a federal fund aimed at promoting access to telecommunications services for all Americans, regardless of location or economic status. It is a program administered by the Federal Communications Commission (FCC) and requires companies providing interconnected VoIP and telecommunications services to retail customers, including businesses and residences, to contribute to the USF. It is calculated as a percentage of a company’s end-user telecommunications revenues.

You can find more information about the Universal Service Fund at: www.fcc.gov/general/universal-service

All customers operating in the United States and purchasing Telnyx interconnected VoIP or telecommunications services will be subject to a USF passthrough fee each month based on their usage of those services, in addition to federal, state and local regulatory fees and taxes.

More on sales and telecommunication taxes here.

USF will be applied to telecom and/or VoIP consumption and Programmable Voice (US Outbound & Inbound) services. Only the Interconnected VoIP portion of these products will be subject to USF.

Under the dedicated section for tax charges on your Telnyx invoice, you will see the breakdown by tax type with a line-item indicating USF fee applied in that month.

If your company files the FCC Form 499-A and makes USF contributions directly as a provider of telecommunications, your company may qualify for an exemption from USF fee that we impose on USF-assessable services. Please reach out to tax@telnyx.com with appropriate documents to apply for exemption from USF fee. Also note that you are required to renew this exemption certificate annually.

The Telecommunications Relay Service (TRS) is a federal fund administered by the Federal Communications Commission (FCC) and requires companies providing interconnected VoIP and telecommunications services to retail customers, including businesses and residences, to contribute to the TRS Fund. It is calculated as a percentage of a company’s end-user telecommunications revenues.

You can find more information about the Telecommunications Relay Service at: https://rolkaloube.com/programs/federal-itrs/trs-contributors

The TRS Fund was established by the FCC in 1993 to reimburse TRS providers for the cost of providing interstate TRS services. TRS services are telephone transmission services that provide hearing or speech challenged individuals with the ability to use a traditional telephone. Under the FCC’s rules, Telnyx must contribute a percentage of its end-user communications revenues to the TRS Fund. The contribution percentage varies annually.

All customers based in the United States and purchasing Telnyx interconnected VoIP or telecommunications services will be subject to a TRS passthrough fee each month based on their usage of those services, in addition to federal, state and local regulatory fees and taxes.

TRS will be applied to telecom and/or VoIP consumption and Programmable Voice (US Outbound & Inbound) services. Only the Interconnected VoIP portion of these products will be subject to TRS.

Under the dedicated section for tax charges on your Telnyx invoice, you will see the breakdown by tax type with a line-item indicating TRS fee applied in that month.

If your company files the FCC Form 499-A and makes TRS contributions directly as a provider of telecommunications, your company may qualify for an exemption from the TRS fees that we impose on TRS-assessable services. Please reach out to tax@telnyx.com with appropriate documents to apply for exemption from TRS fees. Also note that you are required to renew this exemption certificate annually.