Judge upholds NY tax suit against Sprint Nextel

ALBANY, N.Y. (AP) - A New York judge has refused to dismiss the state attorney general's lawsuit claiming back sales taxes and triple damages from Sprint.

State Supreme Court Justice O. Peter Sherwood says the state has a valid basis for claims under state tax law, which imposes a 4 percent tax on aggregated mobile communications services.

The suit seeks $100 million in unpaid taxes since 2005 and the damages. Attorney General Eric Schneiderman says Sprint Nextel Corp. has improperly withheld about 25 percent of its monthly access fees for mobile calling plans from taxation based on the theory it doesn't owe taxes on the interstate portion.

Sprint said Monday that it will appeal and fight for New York consumers already paying some of the nation's highest wireless taxes.


(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Top Stories

  • Police Hackathon
    The Seattle Police Department is holding its first-ever "hackathon" with 35 tech experts

  • 'It Was My Turn'
    K.J. Wright has signed a $27 million, four-year extension with the Seahawks
ATTENTION COMMENTERS: We've changed our comments, but want to keep you in the conversation.
Please login below with your Facebook, Twitter, Google+ or Disqus account. Existing MyNorthwest account holders will need to create a new Disqus account or use one of the social logins provided below. Thank you.
comments powered by Disqus
Listen to the show
Hear GeekWire on KIRO Radio
Join Todd Bishop and John Cook weekends on KIRO Radio to talk Seattle technology.

Sign up for breaking news e-mail alerts from MyNorthwest.com
In the community
Do you know an exceptional citizen who has impacted and inspired others?
KIRO Radio and WSECU would like to recognize six oustanding citizens this year. Nominate them to be recognized and to receive a $2,000 charitable grant.