E911 Service Fees and Taxes

Updated: 10/01/2025

Question

What are E911 service fees and taxes?

Applies To

  • Billing
  • Fees
  • Taxes

Answer

Your 8x8 billing statement includes State, Local, and other taxes imposed by state (US) or provincial (Canada), local, and municipal governments. 8x8 and our customers are obligated to comply with these regulations and remit taxes. Tax rates and rules change from time to time. Sales taxes may periodically fluctuate on your invoice due to changes in tax rates and/or changes to tax rules affecting the taxability of some of our services.
Enhanced 911 (or E911) service is a service in North America that enables a telephone (or another device) used to dial 911 to automatically transmit the caller's address or geographic position to emergency responders. The FCC requires every provider of interconnected voice-over-IP (VoIP) services to make E911 service available to its VoIP customers (without any “opt out” opportunity for the customer). 8x8’s E911 service is provided as a mandatory component of all inbound/outbound traditional fax and voice service plans (in the United States only). E911 service is not offered on virtual or toll-free numbers, or similar service accessories or add-on plans.  

E911 Service Fee

The E911 Service Fee is a monthly recurring fee that 8x8 charges its VoIP customers in the US for E911 service. It is separate from (and in addition to) the base service fee associated with the corresponding service plan.  8x8 charges the E911 Service Fee on each qualifying line for which it provides E911 service. The E911 Service Fee is charged at the same rate for all lines ordered by a customer; the rate does not depend on the service plan associated with a particular line.  8x8 calculates the total E911 Service Fee billable to the customer each month based on the total number of the customer’s qualifying lines. The total E911 Service Fee is a single line item presented towards the end of the invoice.  
8x8 sets the per line rate for the E911 Service Fee at a level intended to allow it to recover the direct costs it incurs in providing E911 service (when these fees are aggregated across its customer base). The E911 Service Fee is not a tax, and it is not remitted to any government agency. 
For more information, see 8x8 Business Terms sections 6.5 and 6.6.

E911 Tax

“E911 Tax” refers to any tax that is assessed on interconnected VoIP service by state or local taxing authorities in the United States for the purpose of funding state and/or local emergency service programs. 8x8 collects and remits E911 taxes as required by law.  8x8 generally determines which jurisdiction’s tax laws apply to each customer based on the customer's service address.  E911 tax rates are not set or controlled by 8x8 and will vary among geographic regions. Some states assess and collect E911 tax at the state level, some at the county and/or city level, and some take a hybrid approach. Some customers may not be required to pay E911 tax. 
Regulatory Recovery Fee or RRF
What is the Regulatory Recovery Fee (RRF)?
The Regulatory Recovery Fee (RRF) is a monthly fee charged by 8x8 (on a per-extension basis) to recover some of its regulatory compliance costs.
What is the Universal Service Surcharge?
The Universal Service Surcharge (also known as Universal Service Fee/Fund or USF) is a tax imposed to support the Federal Universal Service Fund (USF), which was established by the U.S. government to subsidize basic telephone service for people with low incomes and those who live in rural areas. It is also used to provide Internet connections, landline handsets, and mobile handsets to schools and libraries.
These costs include contributions to US federal and state government programs that promote universal service, such as the ​​Telecommunications Relay Services (TRS) Fund.
The exact cost of this fee on your bill may fluctuate periodically as the carrier contribution rates, or "factors," for these programs are regularly reviewed and adjusted—sometimes dramatically from one period to the next.
Refer to your contract terms in the "tax" section for more information.
Additional Information
Why did the USF charge on my bill change?
The percentage of interstate end-user revenues that telecommunications companies pay to the Universal Service Fund is called the contribution factor. The contribution factor changes four times a year (quarterly) and is increased or decreased depending on the needs of the Universal Service programs. Such changes will be subsequently reflected on your 8x8 bill.
Read more from the FCC