Prepaid Wireless Emergency Telecommunications Service Charge (PWETSC)

Section 190.460, RSMo. allows for the implementation of a fee on Prepaid Wireless Telecommunications Service Charges (PWETSC) for E-911 funding, but not on the device itself. Section 190.460.2 (1), RSMo. applies the 3% PWETSC to each retail transaction services over $15. If a political subdivision has imposed a sales tax under 190.292 or 190.335 and has not opted out of the 3% fee, the sales tax imposed under 190.335 or 190.292 is exempt on the purchase of a prepaid wireless telecommunication card.

When is the fee reported?

The fee is collected in counties that have not opted out of the service charge as allowed by Section 190.460, RSMo. The retailer will collectively report the fees by county, and for the cities of St. Louis City and Sikeston. The fee will not be reported by each individual location.

    • If there are three locations in a particular county and/or cities within that county, all locations will be reported as one collection.

What jurisdictions will collect the PWETSC?

A list of jurisdictions collecting the PWETSC can be found here.

What jurisdictions have opted out of the service charge?

A list of jurisdictions who have opted out of the service charge can be found here.

Changes to Senate Bill 291 were signed by the Governor on July 10, 2019, allowing cities or counties that had previously prohibited the prepaid wireless emergency telephone service charge to take a vote of the governing body to now opt in to the service charge. A vote of at least two-thirds of the governing body is required in order to impose the charge. Notification of the results of such vote must be sent to the Department of Revenue by November 15, 2019, to impose such charge effective January 1, 2020.

Distribution of the PWETSC?

The funds received, less 1% for the Department’s collection fee, will be deposited into the Missouri 911 service trust fund created under Section 190.420, RSMo., for use by the Emergency 911 Board.

How are the fees reported?

The fees may be filed electronically using the online reporting form. These fees will be reported the last day of the month following the collection. The retailer will report all fees collected, minus the retailer’s 3% for administering the collection and remitting the fees to the Department.

After the return is completed, you will be directed to JetPay to submit the payment electronically. After the return is filed and payment is submitted, you will be directed back to the reporting form summary page where you can print a copy for your records.

Emergency Telecommunications Fees (Form 5752)

Examples:

Customer spends $100 total for purchase ($60 wireless device - i.e. phone and $40 of prepaid service)

1. Wireless device

  • Sales tax is assessed at the applicable state and local tax rate.
  • PWETSC does not apply.

2. Purchase of prepaid service (minutes) of $40

  • Sales tax is assessed at the applicable state and local tax rate.
  • PWETSC is collected at a rate of 3% on $25 of the $40 prepaid service because the first $15 of the prepaid service is not subject to the 3% rate. The rate of 3% is only collected for locations where the political subdivision did not opt out.

Customer purchases prepaid minutes for $15

  • Sales tax is assessed at the applicable state and local tax rate.
  • PWETSC would not apply as this qualifies as a minimal amount.

Customer purchases prepaid minutes for $20

  • Sales tax is assessed at the applicable state and local tax rate.
  • PWETSC is collected at a rate of 3% on $5 of the $20 prepaid service because the first $15 of the prepaid service is not subject to the 3% rate.
    Customer purchases a prepaid wireless phone and it comes with minutes of less than $15 included as one
    non-itemized price
  • Sales tax is assessed at the applicable state and local tax rate.
  • Retailer may elect not to collect the PWETSC.

Additional Information:

  • Per Statute - this fee will be reported for counties that have not opted out, the city of St. Louis and the city of Sikeston.
  • This charge will be collected by the retailer and will be separately reported by the retailer on the electronic reporting form that will be available online.
    • The retailer will charge all applicable sales and use taxes and charge the 3% fee on applicable purchases.
  • All fees collected by the retailer for the month of January are retained by the retailer. These fees do not get reported to the Department.
  • Effective February 2019, retailers will collect the fee and file and pay for all fees collected through an online application.
    • There will not be reporting forms mailed out.
    • The reports will be due the last day of the following month.
    • The retailer may retain 3% of the total charges collected.

Collection:

  • In accordance with Section 190.460, RSMo. on or after the effective date of the service charge imposed, the director of the Department of Revenue shall perform all functions incident to the administration, collections, enforcement, and operation of the service charge. The director shall collect, in addition to the sales tax for the state of Missouri, all additional service charges imposed in this section.
    • All applicable provisions contained in sections 144.010 to 144.525 governing the state sales tax and section 32.057 shall apply to the collection of any service charges imposed under this section except as modified.

Monthly Subscriber Fee

Section 190.455, RSMo. provides counties the power to impose a monthly fee up to $1 on subscribers of any communications service that has been enabled to contact 911 (such as landlines, non-prepaid wireless service, and VOIP). The fee under Section 190.455, RSMo, can be imposed in addition to other fees but cannot be imposed in addition to the taxes in Sections 190.292, 190.305, 190.325, or 190.335, RSMo.

When is the fee reported?

The fee is collected in counties that have passed a majority vote imposing a fee under Section 190.455, RSMo. The retailer will collectively report the monthly subscriber fees by county, and for the cities of St. Louis City and Sikeston. The fee will not be reported by each individual location.

  • If there are three locations in a particular county and/or cities within that county, all locations will be reported as one collection.

What jurisdictions will collect the monthly subscriber fee?

A list of jurisdictions collecting the monthly subscriber fee can be found here.

Distribution of the Monthly Subscriber Fee

The funds received, less 1% for the Department’s collection fee, will be deposited into the Missouri 911 service trust fund created under Section 190.420, RSMo. The Department shall remit such funds back to the county or city on a monthly basis.

How are the fees reported?

The fees may be filed electronically using the online reporting form. These fees will be reported the last day of the month following the collection. The retailer will report all fees collected, minus the retailer’s 2% for administering the collection and remitting the fees to the Department.

After the return is completed, you will be directed to JetPay to submit the payment electronically. After the return is filed and payment is submitted, you will be directed back to the reporting form summary page where you can print a copy for your records.

Monthly Subscriber Fee (Form 5807)

Contact Information:

Taxation Division
PO Box 3380
Jefferson City, MO 65105-3380

Email: localgov@dor.mo.gov
Phone: 573-751-4876
Fax: 573-522-1160