California text tax: New FCC ruling could block proposed text messaging tax

SAN FRANCISCO -- A new FCC ruling may block a proposal to tax text messages in California. The way it classifies texts could kill the tax.

Wednesday night, the FCC classified text messaging services as "information services" rather than "telecommunications services."



MORE: California wants to tax your text messages
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California officials are voting next month on whether or not they should tax text messages.



According to KABC's sister station KGO-TV's media partner The Mercury News, that's important because critics say the commission cannot impose the tax without federal officials classifying text messaging as a "telecommunications service."

The California Public Utilities Commission has proposed extending an existing tax to text messages to fund programs which help the poor.
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