Florida Satellite tax

State sued by satellite TV providers
Friday, May 6, 2005


TALLAHASSEE, Fla. (AP) Leading satellite television providers are suing the state of Florida.

DirecTV and EchoStar Communications allege their subscribers are unfairly forced to pay higher taxes than cable television customers under a 2001 law.

Both providers owns the DISH Network and filed the lawsuit in Tallahassee.

The suit contends that the statewide tax rate paid under the law by satellite customers is 10.8 percent, 4 percent higher than the tax on cable TV users.

A spokesman for the state Revenue Department says the actual rate for cable is higher when local taxes are added.

Local taxes are prohibited by federal law from being imposed on satellite subscribers.

The lawsuit is one of several filed around the country.

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