You asked whether the gross earnings tax on satellite TV service applies directly to customers of this service and what a customer who entered into a one-time payment arrangement with a satellite TV service can do if he is charged for the tax.

PA 03-1, June 30 Special Session, extended the utilities gross earnings to satellite TV companies providing service to Connecticut customers starting September 1, 2003. Cable TV companies have been subject to the tax since 1965.

The tax is imposed on the affected companies, rather than the customer, but in practice cable TV companies have historically passed on the tax and it appears that satellite TV companies are doing the same. The question of how the tax is passed on to a satellite TV customer may be addressed in the contract between the company and its customers. A customer may wish to review his contract on this issue. If the customer has any further questions, he may wish to contact the company’s customer service department. The Department of Public Utility Control does not regulate satellite TV companies.

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