Santa Monica : Phone Call Tax Considered

The City Council is considering a tax on out-of-state and international telephone calls that originate in Santa Monica.

Only long-distance calls within California are now taxed by the city.

On Tuesday night, the council gave preliminary approval to an 8% tax, which the city would begin collecting in September if the proposal passes a final vote May 30.

Councilman David Finkel, who proposed the measure, said the objectives of the tax--to raise city revenues--are “crass” and “clear.”

“I figured that as a council member accused of spending city funds on social services, I ought to find a way to generate some more resources,” Finkel said.

Refunds would be provided to anyone who has paid the same tax to another jurisdiction based on the same transmission.

Councilwoman Christine Reed proposed a motion to have the city staff look into imposing a tax on calls from cellular car phones. If mobile telephones are not taxed, Reed said, people will just go outside and sit in the their cars to make long-distance phone calls.

Herb Katz was the only council member who voted against both measures.