Sprint Loses Bid To Dismiss $300M N.Y. Tax Fraud Lawsuit

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It looks as though Sprint will have to face that tax fraud case in New York after all. The bad news for Sprint customers is that, if the company loses this lawsuit, the cost will be passed on to them.

Sprint must face a $300 million fraud lawsuit by New York state claiming the company deliberately failed to bill customers for taxes on its wireless services over seven years, the state's top court ruled on Tuesday. The Court of Appeals in a 4-1 decision rejected Sprint's claims that a 2002 state law imposing sales taxes on interstate mobile phone services violated the U.S. Constitution.
 
so was sprinit didnt bill for the tax... not sure how this is good for their customers since they will now get hit with a new tax from the state.

sprinit may need to pay the bill or they can bill their current and former customers for this tax bill.
 
Sprint chose not to charge the taxes. Therefore they should pay, and not pass the cost on to the customers.
 
scojer said:
Sprint chose not to charge the taxes. Therefore they should pay, and not pass the cost on to the customers.
Click to expand...

I'd agree here. Masayoshi Son will probably eat the fee. The only thing that's going to be footed to the customer most likely is that they will start paying the tax. I'm more surprised John Legere isn't having a field day with this on twitter.
 
rc3ilynt said:
I'd agree here. Masayoshi Son will probably eat the fee. The only thing that's going to be footed to the customer most likely is that they will start paying the tax. I'm more surprised John Legere isn't having a field day with this on twitter.
Click to expand...

He is busy with the new guitar hero.
 
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