Telesoft Leads Charge in Tracking Personal Calls for IRS Purposes
Telesoft now tracks personal calls for the enterprise to anticipate what may be a requirement by the IRS. The IRS may track personal calls in the future to look at them as a taxable benefit.
Phoenix, AZ, April 05, 2007 --(PR.com)-- Telesoft Corporation, a leading provider of Telecom Expense Management (TEM) solutions, has announced the capability of tracking personal calls through their TeleCell wireless management package with industry speculation that the IRS may begin to recognize personal calls as an additional employee benefit.
“We believe the IRS will increase the requirements for companies to separately track business calls and personal calls for tax purposes,” stated Ron Babich, Director of Telesoft Corp. “The requests have not been widespread as of yet, however, the ability to tax personal calls as a company benefit is something we are aware that the IRS is looking into.”
If an organization owns a device, the implication is that it is being provided for the convenience of the employer, and therefore, not a taxable benefit. Unlike a company vehicle, employees can use hardware devices for personal purposes without being required to keep a log.
However, the issue of separately tracking business calls and personal calls is the latest issue to arise regarding wireless device taxation. In a previous case regarding the United States Tax Court Vs. Gaylord v., the taxpayer could not substantiate that her cell phone service was used for business. The tax court supported the Internal Revenue Service's decision to disallow the cost of this service as a business expense.
“Increased visibility to determine business and personal calls can only be obtained through central management and control,” said Babich. “If this becomes the case, a wireless TEM system may become mandatory in order to track thousands of calls within an organization.”
About Telesoft
As a leading provider of powerful Telecom Cost Management solutions, Telesoft Corp. has been serving large organizations for over 25 years. Telesoft offers telecommunication expense management software to Fortune 1000, government, and universities as well as large private enterprises. Solutions include Invoice Processing, Call accounting, Asset Management, Vendor Provisioning, eBonding, and Wireless device plan management.
Telesoft’s award-winning products and services have revolutionized the way companies do business in today's marketplace. With trusted customers such as 3M, Goodrich, Freightliner, and 7-Eleven, Telesoft Corp. is poised to continue this history of leadership with innovative offerings that expand to accommodate the changing needs of today's growing businesses. For more information on Telesoft, please visit www.telesoft.com.
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“We believe the IRS will increase the requirements for companies to separately track business calls and personal calls for tax purposes,” stated Ron Babich, Director of Telesoft Corp. “The requests have not been widespread as of yet, however, the ability to tax personal calls as a company benefit is something we are aware that the IRS is looking into.”
If an organization owns a device, the implication is that it is being provided for the convenience of the employer, and therefore, not a taxable benefit. Unlike a company vehicle, employees can use hardware devices for personal purposes without being required to keep a log.
However, the issue of separately tracking business calls and personal calls is the latest issue to arise regarding wireless device taxation. In a previous case regarding the United States Tax Court Vs. Gaylord v., the taxpayer could not substantiate that her cell phone service was used for business. The tax court supported the Internal Revenue Service's decision to disallow the cost of this service as a business expense.
“Increased visibility to determine business and personal calls can only be obtained through central management and control,” said Babich. “If this becomes the case, a wireless TEM system may become mandatory in order to track thousands of calls within an organization.”
About Telesoft
As a leading provider of powerful Telecom Cost Management solutions, Telesoft Corp. has been serving large organizations for over 25 years. Telesoft offers telecommunication expense management software to Fortune 1000, government, and universities as well as large private enterprises. Solutions include Invoice Processing, Call accounting, Asset Management, Vendor Provisioning, eBonding, and Wireless device plan management.
Telesoft’s award-winning products and services have revolutionized the way companies do business in today's marketplace. With trusted customers such as 3M, Goodrich, Freightliner, and 7-Eleven, Telesoft Corp. is poised to continue this history of leadership with innovative offerings that expand to accommodate the changing needs of today's growing businesses. For more information on Telesoft, please visit www.telesoft.com.
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Contact
Telesoft Corp.
Rob Stratton
(602) 308-1168
www.telesoft.com
Rob Stratton
(602) 308-1168
www.telesoft.com
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