FCC Requires USF for VoIP

Interconnected VoIP providers are required to contribute to the federal Universal Service Fund (USF). Practical implications for VoIP carriers:

  • Register with the FCC and file Form 499-A annually (and 499-Q quarterly if applicable).
  • Report interstate/international end-user telecommunications revenues; safe-harbor percentages apply to bundled VoIP.
  • Contribution obligations flow to USAC; recovery from customers is permitted with proper disclosure.
  • State USF programs may impose additional obligations on nomadic and fixed VoIP.

ISG registers VoIP providers and manages 499 compliance — see Hire ISG.

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