Telecommunication Service Suppliers

General Surcharge Application

Telecommunication service suppliers (service suppliers) provide access lines to service users in California and are required to collect the Emergency Telephone Users Surcharge, which includes both the 911 surcharges and 988 surcharges.

Beginning January 1, 2023, Assembly Bill 988 (Stats. 2022, ch. 747) revises the Emergency Telephone Users Surcharge Act to include a new 988 surcharge. The 911 and 988 Surcharges are imposed on service suppliers as a flat rate amount on each access line (wireline, wireless line, and Voice over Internet Protocol (VoIP) service line) in which a service user subscribes for use in California each month or partial month.  Service suppliers must collect the 911 and 988 surcharges from service users, generally on the monthly service billings, and pay it to the California Department of Tax and Fee Administration (CDTFA).  For the current 911 and 988 surcharge rates, please see our Tax Rates - Special Taxes and Fees webpage.

If you are a service supplier that also sells prepaid mobile telephony services (MTS), you are required to collect the 911 and 988 surcharges on each retail sale of prepaid MTS and report on your service supplier's return. Please refer to the Sellers section for information about the application of the 911 and 988 surcharges implications on prepaid MTS.

Definitions

Service Supplier

Service supplier means a person supplying an access line to a service user in California.

Service User

Service user means any person that subscribes for the right to use an access line in California who is required to pay a surcharge under the law.

Access Line

Access line means the following:

  • A wireline communications service line.
  • A wireless communications service line.
  • A VoIP service line.

General Exemptions

The following access lines are exempt from the 911 and 988 surcharges:

  • Access lines supplying lifeline service.
  • Access lines connected to public telephones.
  • Access lines for which no charges are billed by a service supplier to a service user.

Registration

Online Registration – Register with us for an Emergency Telephone Users Surcharge account by selecting "Register for a New Business Activity". Visit the Online Services webpage for a list of information you may need to complete your registration.

Who is required to Register?

In general, you must register with the CDTFA if you are:

  •  A telephonic service provider/service supplier;
  • Any person providing Voice over Internet Protocol (VoIP) service line with access to the 911 emergency communications system and 988 suicide and crisis lifeline;
  • A service user that did not have the surcharge collected by a service supplier; or
  • A prepaid consumer that did not have the surcharge collected by a seller.

If you plan to provide telecommunication services within California, you must first register with the California Public Utilities Commission (CPUC).  For information regarding CPUC requirements, visit the CPUC website or call 1-415-703-2782.

A service supplier may also need a CDTFA seller's permit if they make retail sales of merchandise (tangible personal property).

Updating Your Business Information

Update your business information through our online services using your username and password. Simply login using your username and password and select the account for which you want to update. Select the More link under the I Want To section. Then select the option you are requesting to update under Account Maintenance.

Additional Business Update Options – You may also notify us of any changes by:

  • Using form CDTFA-345-SP, Notice of Business Change, Special Taxes and Fees Accounts,
  • Contacting our Customer Service Center at 1-800-400-7115 (CRS: 711) and select the option for "Special Taxes and Fees," or
  • Sending a message through our website at Email Your Tax Questions.

911 Surcharge and 988 Surcharge Rates

The Office of Emergency Services is required to annually determine the 911 and 988 surcharges rate amounts by October 1 each year. The rate amounts remain in effect the following January through December. CDTFA will send a notice of rate amount changes to service suppliers prior to January 1 of the following year.

Visit our Tax Rates – Special Taxes and Fees page to view current and historical emergency telephone users surcharge rates.

More rate information may also be found on the 911 Surcharge, 988 Surcharge, and Local Charge Rates section of this guide.

Filing Return

As a service supplier, you are required to collect the 911 and 988 surcharges from your customers and file a monthly return electronically.

The surcharge return is due on or before the last day of the second month following each reporting period. For example, if your reporting period is for the month of January, the return is due on March 31.

File a Return Online – File your Emergency Telephone Users Surcharge Return and your Refusal to Pay Schedule (when applicable) through our online services using your username and password. Simply log in using your username and password and select the account for which you want to file a return. Then select the File a Return link and follow the prompts.

Note: If you do not have a username and password, select the Sign Up Now link under the Create a Username heading from the online services homepage.

Visit our Tutorials page for instructions on how to file your Emergency Telephone Users Surcharge Return online.

Returns must be filed by the due date to be considered timely, even if no amount is owed. If the due date falls on a Saturday, Sunday, or state holiday, returns filed by the next business day will be considered timely.

Billing Aggregator:

Service suppliers may contract with a billing aggregator to collect some or all of your access line charges, including VoIP service line charges, and to pay the 911 and 988 surcharges to us.

Billing aggregators can file an Emergency Telephone Users Surcharge Return and make a payment for each service supplier separately or access the Bulk File template to file and pay on behalf of multiple service suppliers in one submission using our Online Services system. To submit a Bulk File and pay on behalf of multiple service suppliers, please contact us at STFRegUpdates@cdtfa.ca.gov to request Bulk File access.

Payments

Make payments through our online services using your username and password. Simply login using your username and password and select the account for which you want to make a payment. Select the More link under the I Want To section. Then select the Make a Payment link and follow the prompts.

Additional Payment Options – Visit our website for additional convenient payment methods.

Feepayers with an estimated average monthly fee liability of $20,000 or more are required to pay amounts due by electronic funds transfer (EFT). We will notify you in writing if you are required to pay your fees electronically. Please visit our Electronic Funds Transfer (EFT) - Frequently Asked Questions (FAQ's) for payment methods and payment deadline information.

Payments must be received or postmarked by the due date to be considered timely. If the due date falls on a Saturday, Sunday or state holiday, payments postmarked or received by the next business day will be considered timely.

Please note: For credit card payments, a service fee of 2.3 percent of the transaction amount will be charged by the credit card processing vendor.

Filing a Claim for Refund

You may file a claim for refund through our online services using your username and password. Simply login using your username and password and select the account for which you want to claim a refund. Select the More link under the I Want To section. Then select the Submit a Claim for Refund link and follow the prompts.

Additional Claim for Refund Filing Options - You may also file your claim for refund by filing either:

  • A form CDTFA-101, Claim for Refund or Credit, or
  • An amended return(s) stating the specific reason(s) for the overpayment.

Claims for refund must be in writing, state the reason for overpayment, specify the period for which you made the overpayment, and the amount of the refund requested. Additional refund details can be found on our webpage Filing Claims for Refund - Special Taxes and Fees.

You may email the claim form or mail it to:

California Department of Tax and Fee Administration
Appeals and Data Analysis Branch (MIC: 33)
P.O. Box 942879
Sacramento, CA 94279-0033

Whichever of the following dates occurs last is your refund claim filing deadline:

  • Three years after the due date of the return on which you overpaid the surcharge
  • Six months after you overpaid the surcharge
  • Six months after the date a billing became final
  • Three years after CDTFA collected an involuntary payment, such as from a levy or lien

Be sure to file your claim for refund by the applicable deadline. If you don't file timely, we cannot consider your claim, even if you overpaid the surcharge. For additional information about filing a claim for refund, see publication 117, Filing a Claim for Refund.