The California Public Utilities Commission ( CPUC ) has dropped their plan to implement a " text Tax ".
The CPUC had been considering a plan that would have taxed your cell phone messaging. The Commission dropped the plan after the Federal Communications Commission ( FCC ) said that the text messaging is an information service and not a telecommunications service. Federal laws limit a states taxing authority over information services. The CPUC's plan would have raised an estimated $44 million a year which would have been used to fund the Public Purpose Program that provides phone service to California low income residents.