RES 2008-1027 - Deny claim of Primus Telecommunications Inc for refund of taxes ,,,N1AHA,NFe� i ' t ,1 Finance Department
� . > Omaha/Douglas Civic Center
�� 08 C r, 9' 46 1819 Farnam Street,Suite 1004
rfi E n U� l ,,} Omaha,Nebraska 68183-1004
(402)444-5416
Ao yry 4 i _n Telefax(402)546-1150
�4TFD FE10 F i 1 (�,j_7:7,
City of Omaha t,li E'' n
l Carol A.DirectorEbdo
Mike Fahey,Mayor 1
Allen R.Herb*
City Comptroller
Honorable President
and Members of the City Council,
Primus Telecommunications, Inc., of McLean, Virginia, has submitted a claim for refund of
telephone occupation taxes in the amount of$193,861.62,contending that the taxes were improperly
paid on tolls from interstate telephone calls over a period from January,2004,through April;2007.
The claim was submitted on January 3, 2008.
I
The Law Department has reviewed the claim and recommends that a portion be denied. Denial is
appropriate for the amount paid more than eighteen months before the claim was properly submitted.
Nebraska Revised Statutes sections 14-804,et seq.,require that claims for refund of taxes improperly
assessed and not paid under protest must be submitted within eighteen months and no claim can be
paid beyond that time except through a court judgment. Finance Department staff have reviewed the
documentation and calculated the amount of the claim that was not submitted within that time
period.
Respectfully submitted, Referred to the City Council for Consideration:
UL.,..-.4'1,6--A___ '71 I/3)0 t Al")."*"*.' 7-is.- DY I
Carol Ebdon DATE Mayor's Office, Title DATE
Finance Director
P:\LAW-CITY COUNCIL DOCUMENTS\2008\50092s1w.doc
1
e designated area
identified on the map attached to the Agreement as Attachment No. 1, to be occupied as their
principal place of residence, is hereby approved. HOME Program Funds in the amount of
$810,000.00 shall be paid from FY 2008 HOME Fund No. 12179, Organization 128067 as
follows: $360,000.00 from the OIC Neighborhood Project, $300,000.00 from the Burdette Street
Demonstration Project and $150,000.00 from the RSVP Program.
PLNAMR1119 Resolution APPROVED AS TO FORM:
i Q
CITY ATTORNEY ATE
By /04460 943,44
Councilmember
Adopted JU 2 2 2008
City C•
lerli
Approved htüe
Mayor
ayor
y, elderly
persons, or others with special needs. Additionally, non-profit organizations will generally require a
higher subsidy than for-profit businesses.
Project cash flow and rate of return will also be evaluated. The City of Omaha normally will not allow an
excessive gain or profit to be derived from a project. The specific standard governing rate of return is the
return on investment shall not exceed twenty percent(20%); except in the case of a Single-Family Rental
Rehabilitation Program project with no first mortgage, the project costs have been certified by the
Planning Department, rents are affordable, and operating expenses are reasonable,the maximum return on
investment shall not exceed forty percent(40%).
Certification:
The Omaha 100, Incorporated/Downpayment Assistance project located in the OIC Neighborhood,
Burdette Street Demonstration and RSVP Program project areas has been evaluated in accordance with
the above Subsidy Layering Standards for the HOME Program guidelines, as approved by the Planning
Dire or add the Housing and Community Development Manager.
_ tt GG2l� 6
Daisy Burton, Contract Administration Date
and Compliance Manager
Revised 3/15/04
E subcontractor to the
Bidder or other verification in writing from the B. PBE/DBE Reporting and Record Keeping Requirements.
PBE/DBE subcontractor that said subcontractor has
agreed to perform the subcontracting work 1. The Contractor shall submit periodic reports of
identified in the bid submitted by the Bidder. contracting with Protected and/or Disadvantaged
Business Enterprises in such form and manner and at
b. If Bidder fails to meet the goals set forth above, such time as prescribed by the City of Omaha (Exhibit
Good Faith Efforts Documentation must be "C" is currently required to be submitted within ten
submitted with bid. (10) calendar days following the end of each calendar
quarter,from the start of the project).
c. Also, prior to award of this contract, all Bidders
must submit Exhibit "B" Contractor Employment 2. The Contractor and subcontractors shall permit
Data Form with the bid. access to their books, records and accounts by
the Human Relations Director or a designated
d. The Bidder and any of its subcontractors that have representative for purpose of investigation to
been designated by the Bidder as PBE and/or DBE ascertain compliance with these specified
mbers of
in the contract work. In any case, Exhibits"A" and"B" PBE/DBE's that were contracted;
must be submitted with the bid. If the information so (2) A description of the information provided to
submitted indicates that the City of Omaha goals will PBE/DBE's regarding the plans and
not be met, the Bidder shall submit good faith efforts specifications for portions of the work to be
documentation with their bid. The evidence must show performed;and
to the City of Omaha's satisfaction that the bidder has (3) A detailed statement of the reasons why
in good faith made every reasonable effort in the City additional prospective agreements with
of Omaha's judgment, to meet such goals. If any
$186,102 48.9%
1171 $123,752 $157,199 $180,467 46.2% 1241 $127,672 $162,178 $186,184 49.0%
1172 $123,808 $157,270 $180,549 46.3% 1242 $127,728 - $162,250 $186,265 49.0%
1173 $123,864 $157,341 $180,631 46,3% 1243 $127,784 $162,321 $186,347 49.1%
1174 $123,920 $157,412 $180,712 46.3% 1244 $127,840 $162,392 $186,429 49.1%
1175 $123,976 $157,484 $180,794 46.4% 1245 $127,896 $162,463 $186,510 49.1%
1176 $124,032 $157,555 $180,876 46.4% 1246 $127,952 $162,534 $186,592 49.2%
1177 $124,088 $157,626 $180,957 46.4% 1247 $128,008 $162,605 $186,674 49.2%
1178 $124,144 $157,697 $181,039 46.5% 1248 $128,064 $162,676 $186,755 49.3%
1179 $124,200 $157,768 $181,121 46.5% 1249 $128,120 $162,748 $186,837 49.3%
1180 $124,256 $157,839 $181,202 46.6% 1250 $128,176 $162,819 $186,919 49.3%
1181 $124,312 $157,910 $181,284 46.6% 1251 $128,232 $162,890 $187,000 49.4%
1182 $124,368 $157,981 $181,366 46.6% 1252 $128,288 $162,961 $187,082 49.4%
1183 $124,424 $158,053 $181,447 46.7% 1253 $128,344 $163,032 $187,164 49.4%
1184 $124,480 $158,124 $181,529 46.7% 1254 $128,400 $163,103 $187,245 49.5%
1185 $124,536 $158,195 $181,611 46.8% 1255 $128,456 $163,174 $187,327 49.5%
1186 $124,592 $158,266 $181,692 46.8% 1256 $128,512 $163,246 $187,409 49.6%
•
• r
• INTEROFFICE MEMORANDUM f r e,: cs
Law Department
i
DATE: July 21, 2008
TO: Buster Brown, City Clerk
FROM: Thomas O. Mumgaard, Deputy City Attorney
SUBJECT: Refund Claim of Primus Telecommunications
July 22, 2008, Agenda item# 55
Primus Telecommunications has submitted a claim for a refund of Omaha
telecommunications occupation tax that was allegedly paid on telephone call revenue not subject
to the tax.
Attached is a copy of the claim and supporting documentation submitted by Primus
Telecommunications. Please place this into the City Council's record.
Respectfu s mitt
T omas O. Mumgaard
Deputy City Attorney
c: Al Herink
Attachment
/22/90
7
nce
Business Enterprise Work Assignment Dollars Committed Quarter (NTP)to Date
7 ----ftss244)
•
p.rimus.
'January 3, 2008
Mr. Al Herink
City Comptroller
City of Omaha
1819 Farnam St., Suite 1004
Omaha,NE 68183 •
Dear Mr. Herink:
Due to a billing error, our customer Paypal/EBay was overcharged and overpaid the
Telecommunications Occupation Tax as indicated on the attached spreadsheet. The tax was
computed on the charge for interstate toll calls. As stated in Nebraska sales tax regulation 1-
065.02, the tax should be computed on"intrastate toll message charges". The amount of tax
billed in error was paid to the city. Primus requests a refund in the amount of$193,861.62,the
difference between what was remitted to the city and the amount that would have been remitted if
computed using the correct methodology. Primus has already refunded this amount to our
customer, Paypal/EBay,the only customer affected by this billing error.
The attached spreadsheet calculates the billing error from January 2004 through April, 2007 when
the billing error occurred. The original tax and the corrected tax are computed for each period,
then the difference is determined. We then compute the tax on the T-1 because it was not taxed
originally, but should have been. We reduce the difference by the amount of tax on the T-1 to
arrive at the amount that was refunded to the customer. Primus now requests a refund from the
City in the same amount.
Please call me at 703-902-2889 if you have any questions concerning this refund request. You
may also contact me by email at rmillernprimustel.com. Thank you for your assistance with this
request.
Sincerely,
Thomas Kloster, Chief Financial Officer
Primus Telecommunications, Inc.
� tr r
Primus Telecommunications, Inc.
7901 Jones Branch Drive • Suite 900 • McLean, VA 22102 USA
Phone: 703.902.2800 • Fax: 703.902.2814 • www.primustel.com
signated area
identified on the map attached to the Agreement as Attachment No. 1, to be occupied as their
principal place of residence, is hereby approved. HOME Program Funds in the amount of
$810,000.00 shall be paid from FY 2008 HOME Fund No. 12179, Organization 128067 as
follows: $360,000.00 from the OIC Neighborhood Project, $300,000.00 from the Burdette Street
Demonstration Project and $150,000.00 from the RSVP Program.
PLNAMR1119 Resolution APPROVED AS TO FORM:
i Q
CITY ATTORNEY ATE
By /04460 943,44
Councilmember
Adopted JU 2 2 2008
City C•
lerli
Approved htüe
Mayor
ayor
y, elderly
persons, or others with special needs. Additionally, non-profit organizations will generally require a
higher subsidy than for-profit businesses.
Project cash flow and rate of return will also be evaluated. The City of Omaha normally will not allow an
excessive gain or profit to be derived from a project. The specific standard governing rate of return is the
return on investment shall not exceed twenty percent(20%); except in the case of a Single-Family Rental
Rehabilitation Program project with no first mortgage, the project costs have been certified by the
Planning Department, rents are affordable, and operating expenses are reasonable,the maximum return on
investment shall not exceed forty percent(40%).
Certification:
The Omaha 100, Incorporated/Downpayment Assistance project located in the OIC Neighborhood,
Burdette Street Demonstration and RSVP Program project areas has been evaluated in accordance with
the above Subsidy Layering Standards for the HOME Program guidelines, as approved by the Planning
Dire or add the Housing and Community Development Manager.
_ tt GG2l� 6
Daisy Burton, Contract Administration Date
and Compliance Manager
Revised 3/15/04
E subcontractor to the
Bidder or other verification in writing from the B. PBE/DBE Reporting and Record Keeping Requirements.
PBE/DBE subcontractor that said subcontractor has
agreed to perform the subcontracting work 1. The Contractor shall submit periodic reports of
identified in the bid submitted by the Bidder. contracting with Protected and/or Disadvantaged
Business Enterprises in such form and manner and at
b. If Bidder fails to meet the goals set forth above, such time as prescribed by the City of Omaha (Exhibit
Good Faith Efforts Documentation must be "C" is currently required to be submitted within ten
submitted with bid. (10) calendar days following the end of each calendar
quarter,from the start of the project).
c. Also, prior to award of this contract, all Bidders
must submit Exhibit "B" Contractor Employment 2. The Contractor and subcontractors shall permit
Data Form with the bid. access to their books, records and accounts by
the Human Relations Director or a designated
d. The Bidder and any of its subcontractors that have representative for purpose of investigation to
been designated by the Bidder as PBE and/or DBE ascertain compliance with these specified
mbers of
in the contract work. In any case, Exhibits"A" and"B" PBE/DBE's that were contracted;
must be submitted with the bid. If the information so (2) A description of the information provided to
submitted indicates that the City of Omaha goals will PBE/DBE's regarding the plans and
not be met, the Bidder shall submit good faith efforts specifications for portions of the work to be
documentation with their bid. The evidence must show performed;and
to the City of Omaha's satisfaction that the bidder has (3) A detailed statement of the reasons why
in good faith made every reasonable effort in the City additional prospective agreements with
of Omaha's judgment, to meet such goals. If any
$186,102 48.9%
1171 $123,752 $157,199 $180,467 46.2% 1241 $127,672 $162,178 $186,184 49.0%
1172 $123,808 $157,270 $180,549 46.3% 1242 $127,728 - $162,250 $186,265 49.0%
1173 $123,864 $157,341 $180,631 46,3% 1243 $127,784 $162,321 $186,347 49.1%
1174 $123,920 $157,412 $180,712 46.3% 1244 $127,840 $162,392 $186,429 49.1%
1175 $123,976 $157,484 $180,794 46.4% 1245 $127,896 $162,463 $186,510 49.1%
1176 $124,032 $157,555 $180,876 46.4% 1246 $127,952 $162,534 $186,592 49.2%
1177 $124,088 $157,626 $180,957 46.4% 1247 $128,008 $162,605 $186,674 49.2%
1178 $124,144 $157,697 $181,039 46.5% 1248 $128,064 $162,676 $186,755 49.3%
1179 $124,200 $157,768 $181,121 46.5% 1249 $128,120 $162,748 $186,837 49.3%
1180 $124,256 $157,839 $181,202 46.6% 1250 $128,176 $162,819 $186,919 49.3%
1181 $124,312 $157,910 $181,284 46.6% 1251 $128,232 $162,890 $187,000 49.4%
1182 $124,368 $157,981 $181,366 46.6% 1252 $128,288 $162,961 $187,082 49.4%
1183 $124,424 $158,053 $181,447 46.7% 1253 $128,344 $163,032 $187,164 49.4%
1184 $124,480 $158,124 $181,529 46.7% 1254 $128,400 $163,103 $187,245 49.5%
1185 $124,536 $158,195 $181,611 46.8% 1255 $128,456 $163,174 $187,327 49.5%
1186 $124,592 $158,266 $181,692 46.8% 1256 $128,512 $163,246 $187,409 49.6%
prus.
Affidavit of Russ Miller
For purposes of complying with R.R.S. Neb. §14-804, I, Russell Miller,under penalty of
perjury, do hereby state the following as true to.the best of my knowledge, information and belief:
1. I reside at 17219 Greenwood Drive, Round Hill, VA 20141.
2. I am a senior tax manager at Primus Telecommunications, Inc. ("Primus"), located at
7901 Jones Branch Drive, Suite 900, McLean, Virginia 22102.
3. Primus is a global telecommunications provider and provides various services including,
but not limited to, intrastate, interstate and international telephone services (the"Services").
4. During the period between January of 2004 and April of 2007 (the"Period"), Primus
provided the Services to Pay Pal, Inc. ("Pay Pal") in the City of Omaha, Nebraska(the"City").
During the Period, Primus charged Pay Pal, and timely remitted to the City, the City's
occupation tax,which Primus mistakenly calculated on the interstate receipts of the Services
instead of on the gross receipts of the Services less the receipts from interstate and international
telephone services.
5. In March of 2007, Pay Pal notified Primus of this error that the Tax was charged on the
interstate charges instead of the gross charges less interstate and international charges. In August
of 2007, per Pay Pal's request, Primus credited Pay Pal $193,861.62, which was the amount of
the Tax that Primus had calculated that Pay Pal had overpaid during the Period.
6. During the Period, intrastate, interstate and international telephone charges were listed
separately on Primus' invoices to Pay Pal.
Under penalty of perjury, I declare that I have examined the refund request to the City,
including the accompanying documents, and to the best of my knowledge and belief,the request
contains all the relevant facts relating to the request, an uch facts are tru , corre and complete.
Russell Miller
Senior Tax Manager
i-7/4?
j/ 7 / to
A 1'fota y P/ublic 4`'��!� "" • .,� y
/00
SWORN before me this day of _ _ 7075903 n
v =o i COIA ISSION
ri,V,1% EXPIRES r?:
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.,% Z 4L N 0v`�,`���
A/72359541.1 Primus Telecommunications, Inc.
7901 Jones Branch Drive • Suite 900 • McLean, VA 22102 USA
Phone: 703.902.2800 • Fax: 703.902.2814 • www.primustel.com
City C•
lerli
Approved htüe
Mayor
ayor
y, elderly
persons, or others with special needs. Additionally, non-profit organizations will generally require a
higher subsidy than for-profit businesses.
Project cash flow and rate of return will also be evaluated. The City of Omaha normally will not allow an
excessive gain or profit to be derived from a project. The specific standard governing rate of return is the
return on investment shall not exceed twenty percent(20%); except in the case of a Single-Family Rental
Rehabilitation Program project with no first mortgage, the project costs have been certified by the
Planning Department, rents are affordable, and operating expenses are reasonable,the maximum return on
investment shall not exceed forty percent(40%).
Certification:
The Omaha 100, Incorporated/Downpayment Assistance project located in the OIC Neighborhood,
Burdette Street Demonstration and RSVP Program project areas has been evaluated in accordance with
the above Subsidy Layering Standards for the HOME Program guidelines, as approved by the Planning
Dire or add the Housing and Community Development Manager.
_ tt GG2l� 6
Daisy Burton, Contract Administration Date
and Compliance Manager
Revised 3/15/04
E subcontractor to the
Bidder or other verification in writing from the B. PBE/DBE Reporting and Record Keeping Requirements.
PBE/DBE subcontractor that said subcontractor has
agreed to perform the subcontracting work 1. The Contractor shall submit periodic reports of
identified in the bid submitted by the Bidder. contracting with Protected and/or Disadvantaged
Business Enterprises in such form and manner and at
b. If Bidder fails to meet the goals set forth above, such time as prescribed by the City of Omaha (Exhibit
Good Faith Efforts Documentation must be "C" is currently required to be submitted within ten
submitted with bid. (10) calendar days following the end of each calendar
quarter,from the start of the project).
c. Also, prior to award of this contract, all Bidders
must submit Exhibit "B" Contractor Employment 2. The Contractor and subcontractors shall permit
Data Form with the bid. access to their books, records and accounts by
the Human Relations Director or a designated
d. The Bidder and any of its subcontractors that have representative for purpose of investigation to
been designated by the Bidder as PBE and/or DBE ascertain compliance with these specified
mbers of
in the contract work. In any case, Exhibits"A" and"B" PBE/DBE's that were contracted;
must be submitted with the bid. If the information so (2) A description of the information provided to
submitted indicates that the City of Omaha goals will PBE/DBE's regarding the plans and
not be met, the Bidder shall submit good faith efforts specifications for portions of the work to be
documentation with their bid. The evidence must show performed;and
to the City of Omaha's satisfaction that the bidder has (3) A detailed statement of the reasons why
in good faith made every reasonable effort in the City additional prospective agreements with
of Omaha's judgment, to meet such goals. If any
$186,102 48.9%
1171 $123,752 $157,199 $180,467 46.2% 1241 $127,672 $162,178 $186,184 49.0%
1172 $123,808 $157,270 $180,549 46.3% 1242 $127,728 - $162,250 $186,265 49.0%
1173 $123,864 $157,341 $180,631 46,3% 1243 $127,784 $162,321 $186,347 49.1%
1174 $123,920 $157,412 $180,712 46.3% 1244 $127,840 $162,392 $186,429 49.1%
1175 $123,976 $157,484 $180,794 46.4% 1245 $127,896 $162,463 $186,510 49.1%
1176 $124,032 $157,555 $180,876 46.4% 1246 $127,952 $162,534 $186,592 49.2%
1177 $124,088 $157,626 $180,957 46.4% 1247 $128,008 $162,605 $186,674 49.2%
1178 $124,144 $157,697 $181,039 46.5% 1248 $128,064 $162,676 $186,755 49.3%
1179 $124,200 $157,768 $181,121 46.5% 1249 $128,120 $162,748 $186,837 49.3%
1180 $124,256 $157,839 $181,202 46.6% 1250 $128,176 $162,819 $186,919 49.3%
1181 $124,312 $157,910 $181,284 46.6% 1251 $128,232 $162,890 $187,000 49.4%
1182 $124,368 $157,981 $181,366 46.6% 1252 $128,288 $162,961 $187,082 49.4%
1183 $124,424 $158,053 $181,447 46.7% 1253 $128,344 $163,032 $187,164 49.4%
1184 $124,480 $158,124 $181,529 46.7% 1254 $128,400 $163,103 $187,245 49.5%
1185 $124,536 $158,195 $181,611 46.8% 1255 $128,456 $163,174 $187,327 49.5%
1186 $124,592 $158,266 $181,692 46.8% 1256 $128,512 $163,246 $187,409 49.6%
•
primus.
Primus Telecommunications Inc.
Omaha City License Tax Refund Calculation
Net
Original Original Corrected Corrected Tax T-1 T-1 Refund To
Date Description Sales Tax Sales Tax Difference Basis Rate Adiustment Customer
Jan-04 LOCAL LICENSE TAX 51,878.99 2,984.19 756.16 43.50 (2.940.69) 11,680.00 5.75% 671.92 (2,268.77)
• Feb-04 LOCAL LICENSE TAX 49,315.19 2,836.69 994.30 57.22 (2.779.47) 6,850.00 5.75% 394.20 (2,385.27)
Mar-04 LOCAL LICENSE TAX 47,603.58 2,736.92 1,023.72 58.91 (2,678.01) 6,850.00 5.75% 394.18 (2,283.83)
Apr-04 LOCAL LICENSE TAX 48,609.40 2,794.76 1,000.31 57.54 (2,737.22) 6,850.00 5.75% 394.03 (2,343.19)
May-04 LOCAL LICENSE TAX 48,652.05 2,798.88 885.32 50.93 (2,747.95) 6,850.00 5.75% 394.06 (2,353.89)
Jun-04 LOCAL LICENSE TAX 53,932.91 3,104.34 1,020.53 58.71 (3,045.63) 6,850.00 5.75% 394.07 (2,651.56)
Jul-04 LOCAL LICENSE TAX 63,824.43 3,675.17 1,069.87 61.55 (3,613.62) 11,680.00 5.75% 671.95 (2,941.67)
Aug-04 LOCAL LICENSE TAX 64,958.32 3,739.87 1,148.41 66.06 (3,673.81) 11,680.00 5.75% 671.87 (3,001.94)
Sep-04 LOCAL LICENSE TAX 72,233.88 4,158.02 1,332.82 76.66 (4.081.36) 11,680.00 5.75% 671.80 (3,409.56)
Oct-04 LOCAL LICENSE TAX 66,149.72 3,807.08 1,236.92 71.14 (3.735.94) 11,680.00 5.75% 671.76 (3,064.18)
Nov-04 LOCAL LICENSE TAX 75,525.73 4,349.22 1,457.58 83.86 (4,265.36) 6,000.00 5.75% 345.20 (3.920.16)
Dec-04 LOCAL LICENSE TAX 72,494.24 4,173.42 1,429.76 82.24 (4,091.18) 11,680.00 5.75% 671.84 (3,419.34)
Jan-05 LOCAL LICENSE TAX 78,705.83 4,530.22 1,382.76 79.54 (4,450.68) 6,600.00 5.75% 379.65 (4,071.03)
Feb-05 LOCAL LICENSE TAX 80,603.84 4,639.05 1,406.92 80.92 (4.558.13) 6,600.00 5.75% 379.60 (4,178.53)
Mar-05 LOCAL LICENSE TAX 79,631.73 4,582.21 1,456.96 83.79 (4,498.42) 6,600.00 5.75% 379.57 (4,118.85)
Apr-05 LOCAL LICENSE TAX 92,323.86 5,312.56 1,715.66 98.67 (5,213.89) 6,600.00 5.75% 379.58 (4,834.31)
May-05 LOCAL LICENSE TAX 79,800.26 4,591.95 1,550.15 89.17 (4,502.78) 6,600.00 5.75% 379.65 (4,123.13)
Jun-05 LOCAL LICENSE TAX 96,465.43 5,550.37 1,620.71 93.21 (5.457.16) 6,600.00 5.75% 379.58 (5,077.58)
Jul-05 LOCAL LICENSE TAX 83,197.92 4,787.28 - - (4,787.28) 6,600.00 5.75% 379.50 (4,407.78)
Aug-05 LOCAL LICENSE TAX 93,854.91 5,401.18 1,728.55 108.01 (5,293.17) 11,680.00 5.75% 671.60 (4,621.57)
Sep-05 LOCAL LICENSE TAX 103,289.87 5,943.72 1,795.68 103.28 (5.840.44) 11,680.00 5.75% 671.78 (5,168.66)
Oct-05 LOCAL LICENSE TAX 96,062.27 5,527.71 1,941.82 111.68 (5.416.03) 11,680.00 5.75% 671.75 (4,744.28)
Nov-05 LOCAL LICENSE TAX 98,509.33 5,668.79 1,867.44 107.44 (5,561.35) 11,680.00 5.75% 671.99 (4.889.36)
Dec-05 LOCAL LICENSE TAX 108,945.72 6,270.58 1,838.71 105.78 (6,164.80) 11,680.00 5.75% 671.94 (5,492.86)
Jan-06 LOCAL LICENSE TAX 106,020.82 6,626.47 1,879.53 117.45 (6,509.02) 11,680.00 6.25% 729.87 (5,779.15)
Feb-06 LOCAL LICENSE TAX 110,184.09 6,885.51 2,078.76 129.88 (6.755.63) 11,680.00 6.25% 729.76 (6,025.87)
Mar-06 LOCAL LICENSE TAX 94,769.87 5,922.55 1,745.11 109.03 (5,813.52) 11,680.00 6.25% 729.74 (5,083.78)
Apr-06 LOCAL LICENSE TAX 98,257.62 6,140.29 1,747.92 109.23 (6,031.06) 11,680.00 6.25% 729.90 (5,301.16)
May-06 LOCAL LICENSE TAX 86,155.42 5,383.23 1,664.04 103.97 (5.279.26) 11,680.00 6.25% 729.77 (4,549.49)
Jun-06 LOCAL LICENSE TAX 80,478.11 5,028.13 1,347.49 84.19 (4.943.94) 11,680.00 6.25% 729.76 (4,214.18)
Jul-06 LOCAL LICENSE TAX 79,734.72 4,983.33 1,437.42 89.80 (4,893.53) 11,680.00 6.25% 729.69 (4,163.84)
Aug-06 LOCAL LICENSE TAX 93,773.09 5,859.80 1,717.02 107.29 (5,752.51) 11,680.00 6.25% 729.84 (5,022.67)
--Sep-06 LOCAL LICENSE TAX 114,758.84 7,172.92 1,765.06 110.32 (7,062.60) 11,680.00 6.25% 730.02 (6,332.58)
Oct-06 LOCAL LICENSE TAX 128,708.70 8,046.64 2,328.86 145.52 (7,901.12) 11,680.00 6.25% 729.83 (7,171.29)
Nov-06 LOCAL LICENSE TAX 157,844.77 9,867.73 3,978.52 248.59 (9,619.14) 11,680.00 6.25% 729.80 (8,889.34) -
Dec-06 LOCAL LICENSE TAX 210,942.78 13,186.05 4,229.86 264.37 (12,921.68) 11,680.00 6.25% 730.01 (12,191.67)
Jan-07 LOCAL LICENSE TAX 170,148.12 10,636.56 1,990.75 124.40 (10.512.16) 11,680.00 6.25% 729.87 (9,782.29)
Feb-07 LOCAL LICENSE TAX 158,402.38 9,901.16 1,584.43 99.02 (9,802.14) 11,680.00 6.25% 729.95 (9,072.19)
Mar-07 LOCAL LICENSE TAX 146,854.52 9,179.57 1,598.66 99.90 (9,079.67) 11,680.00 6.25% 729.88 (8,349.79)
Apr-07 LOCAL LICENSE TAX 47,842.73 2,990.20 1,587.14 99.19 (2,891.01) 11,680.00 6.25% 729.95 (2,161.06)
Total Refund To Customer 193,861.62
NOTES:
Original Sales-Represents the Interstate Revenue upon which the customer was charged the Omaha business license tax.
Customer should have been charged based on Intrastate Revenue.
Original Tax-Represents the tax origianlly charged at the correct rate but on the basis of Interstate Revenue instead of Intrastate Revenue.
Corrected Sales-Represents the Intrastate Revenue upon which the customer should have been billed for license tax.
Corrected Tax-Represents the tax when charged at the correct rate on Intrastate Revenue.
• Tax Difference-Represents the difference between the Original Tax charged to the customer and the Corrected Tax that should have been
charged to the customer.
T-1 Basis-Represents a charge to the customer for a T-1 that should be included in the taxable basis for the Omaha city license tax.
Rate-Represents the applicable rates for the Omaha license taxes.
T-1 Adiustment-Represents the Omaha license tax that was not previously charged on the T-1.
Net Refund to Customer-Represents the refund to the customer after adding back the additional tax on the T-1.
Primus Telecommunications, Inc.
7901 Jones Branch Drive • Suite 900 • McLean, VA 22102 USA
Phone: 703.902.2800 • Fax: 703.902.2814 • www.primustel.com
6.5% 1249 $128,120 $162,748 $186,837 49.3%
1180 $124,256 $157,839 $181,202 46.6% 1250 $128,176 $162,819 $186,919 49.3%
1181 $124,312 $157,910 $181,284 46.6% 1251 $128,232 $162,890 $187,000 49.4%
1182 $124,368 $157,981 $181,366 46.6% 1252 $128,288 $162,961 $187,082 49.4%
1183 $124,424 $158,053 $181,447 46.7% 1253 $128,344 $163,032 $187,164 49.4%
1184 $124,480 $158,124 $181,529 46.7% 1254 $128,400 $163,103 $187,245 49.5%
1185 $124,536 $158,195 $181,611 46.8% 1255 $128,456 $163,174 $187,327 49.5%
1186 $124,592 $158,266 $181,692 46.8% 1256 $128,512 $163,246 $187,409 49.6%
City of Omaha Webraskamirloocria
1819 Farnam—Suite LC 1 2 r tV
Omaha, Nebraska 68183-0112 0 ' _ ro
Buster Brown (402) 444-5550 iv
City Clerk FAX (402) 444-5263 4.N!. D R FEB °�I-
July 24, 2008
Thomas Kloster
. Chief Financial Officer
Primus Telecommunications, Inc.
7901 Jones Branch Drive
Suite 900
McLean, VA 22102
Dear Mr. Kloster:
The claim submitted by Primus Telecommunications, Inc., for refund of telephone
occupation taxes has been denied by the Omaha City Council on July 22, 2008 by
Resolution No. 1027. This notice is being forwarded to you as required by Nebraska
Statutes section 14-805, et seq. Enclosed is a certified copy of the Resolution.
Sincerely,
Buster Brown
City Clerk
BJB/te
•
Ce o
ork Assignment Dollars Committed Quarter (NTP)to Date
- -
C-25A
CITY OF OMAHA
LEGISLAtIVE CHAMBER
Omaha,Nebraska
RESOLVED BY THE CITY COUNCIL OF THE CITY OF OMAHA: .
WHEREAS,Primus Telecommunications,Inc.,of McLean,Virginia,has submitted a
claim for refund of moneys paid to the City of Omaha as occupation taxes on telephofne serVIces;
.,
and,
WHEREAS,the claim contends that occupation taxes were paid on revenue derived
from interstate toll telephone calls that is not subject to the tax; and,
WHEREAS,the City of Omaha Law Department recommends denying a portion of
the claim in the amount of one hundred forty-three thousand nine hundred eighty-two dollars and
twenty-six cents ($143,982.26) because this portion of the claim was not properly submitted as
required by law.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF OMAHA:
THAT,the portion of the claim of Primus Telecommunications,Inc. for a refund of
telecommunications occupation taxes in the amount of one hundred forty-three thousand nine
hundred eighty-two dollars and twenty-six cents ($143,982.26) is de • d.
APPRO D S TO FORM:
EPUTY CITY TT Y DATE
P:\LAW-CITY COUNCIL DOCUMENTS\2008\50093slw doc
. .
By 100,001 Latta-
Councilmember
Adopted
J 2 2
.., "ma...—
City Clerk
sL-iLi - 0‘'?--,
, ,
Approved
.
.. Mayor,
CENSE TAX 66,149.72 3,807.08 1,236.92 71.14 (3.735.94) 11,680.00 5.75% 671.76 (3,064.18)
Nov-04 LOCAL LICENSE TAX 75,525.73 4,349.22 1,457.58 83.86 (4,265.36) 6,000.00 5.75% 345.20 (3.920.16)
Dec-04 LOCAL LICENSE TAX 72,494.24 4,173.42 1,429.76 82.24 (4,091.18) 11,680.00 5.75% 671.84 (3,419.34)
Jan-05 LOCAL LICENSE TAX 78,705.83 4,530.22 1,382.76 79.54 (4,450.68) 6,600.00 5.75% 379.65 (4,071.03)
Feb-05 LOCAL LICENSE TAX 80,603.84 4,639.05 1,406.92 80.92 (4.558.13) 6,600.00 5.75% 379.60 (4,178.53)
Mar-05 LOCAL LICENSE TAX 79,631.73 4,582.21 1,456.96 83.79 (4,498.42) 6,600.00 5.75% 379.57 (4,118.85)
Apr-05 LOCAL LICENSE TAX 92,323.86 5,312.56 1,715.66 98.67 (5,213.89) 6,600.00 5.75% 379.58 (4,834.31)
May-05 LOCAL LICENSE TAX 79,800.26 4,591.95 1,550.15 89.17 (4,502.78) 6,600.00 5.75% 379.65 (4,123.13)
Jun-05 LOCAL LICENSE TAX 96,465.43 5,550.37 1,620.71 93.21 (5.457.16) 6,600.00 5.75% 379.58 (5,077.58)
Jul-05 LOCAL LICENSE TAX 83,197.92 4,787.28 - - (4,787.28) 6,600.00 5.75% 379.50 (4,407.78)
Aug-05 LOCAL LICENSE TAX 93,854.91 5,401.18 1,728.55 108.01 (5,293.17) 11,680.00 5.75% 671.60 (4,621.57)
Sep-05 LOCAL LICENSE TAX 103,289.87 5,943.72 1,795.68 103.28 (5.840.44) 11,680.00 5.75% 671.78 (5,168.66)
Oct-05 LOCAL LICENSE TAX 96,062.27 5,527.71 1,941.82 111.68 (5.416.03) 11,680.00 5.75% 671.75 (4,744.28)
Nov-05 LOCAL LICENSE TAX 98,509.33 5,668.79 1,867.44 107.44 (5,561.35) 11,680.00 5.75% 671.99 (4.889.36)
Dec-05 LOCAL LICENSE TAX 108,945.72 6,270.58 1,838.71 105.78 (6,164.80) 11,680.00 5.75% 671.94 (5,492.86)
Jan-06 LOCAL LICENSE TAX 106,020.82 6,626.47 1,879.53 117.45 (6,509.02) 11,680.00 6.25% 729.87 (5,779.15)
Feb-06 LOCAL LICENSE TAX 110,184.09 6,885.51 2,078.76 129.88 (6.755.63) 11,680.00 6.25% 729.76 (6,025.87)
Mar-06 LOCAL LICENSE TAX 94,769.87 5,922.55 1,745.11 109.03 (5,813.52) 11,680.00 6.25% 729.74 (5,083.78)
Apr-06 LOCAL LICENSE TAX 98,257.62 6,140.29 1,747.92 109.23 (6,031.06) 11,680.00 6.25% 729.90 (5,301.16)
May-06 LOCAL LICENSE TAX 86,155.42 5,383.23 1,664.04 103.97 (5.279.26) 11,680.00 6.25% 729.77 (4,549.49)
Jun-06 LOCAL LICENSE TAX 80,478.11 5,028.13 1,347.49 84.19 (4.943.94) 11,680.00 6.25% 729.76 (4,214.18)
Jul-06 LOCAL LICENSE TAX 79,734.72 4,983.33 1,437.42 89.80 (4,893.53) 11,680.00 6.25% 729.69 (4,163.84)
Aug-06 LOCAL LICENSE TAX 93,773.09 5,859.80 1,717.02 107.29 (5,752.51) 11,680.00 6.25% 729.84 (5,022.67)
--Sep-06 LOCAL LICENSE TAX 114,758.84 7,172.92 1,765.06 110.32 (7,062.60) 11,680.00 6.25% 730.02 (6,332.58)
Oct-06 LOCAL LICENSE TAX 128,708.70 8,046.64 2,328.86 145.52 (7,901.12) 11,680.00 6.25% 729.83 (7,171.29)
Nov-06 LOCAL LICENSE TAX 157,844.77 9,867.73 3,978.52 248.59 (9,619.14) 11,680.00 6.25% 729.80 (8,889.34) -
Dec-06 LOCAL LICENSE TAX 210,942.78 13,186.05 4,229.86 264.37 (12,921.68) 11,680.00 6.25% 730.01 (12,191.67)
Jan-07 LOCAL LICENSE TAX 170,148.12 10,636.56 1,990.75 124.40 (10.512.16) 11,680.00 6.25% 729.87 (9,782.29)
Feb-07 LOCAL LICENSE TAX 158,402.38 9,901.16 1,584.43 99.02 (9,802.14) 11,680.00 6.25% 729.95 (9,072.19)
Mar-07 LOCAL LICENSE TAX 146,854.52 9,179.57 1,598.66 99.90 (9,079.67) 11,680.00 6.25% 729.88 (8,349.79)
Apr-07 LOCAL LICENSE TAX 47,842.73 2,990.20 1,587.14 99.19 (2,891.01) 11,680.00 6.25% 729.95 (2,161.06)
Total Refund To Customer 193,861.62
NOTES:
Original Sales-Represents the Interstate Revenue upon which the customer was charged the Omaha business license tax.
Customer should have been charged based on Intrastate Revenue.
Original Tax-Represents the tax origianlly charged at the correct rate but on the basis of Interstate Revenue instead of Intrastate Revenue.
Corrected Sales-Represents the Intrastate Revenue upon which the customer should have been billed for license tax.
Corrected Tax-Represents the tax when charged at the correct rate on Intrastate Revenue.
• Tax Difference-Represents the difference between the Original Tax charged to the customer and the Corrected Tax that should have been
charged to the customer.
T-1 Basis-Represents a charge to the customer for a T-1 that should be included in the taxable basis for the Omaha city license tax.
Rate-Represents the applicable rates for the Omaha license taxes.
T-1 Adiustment-Represents the Omaha license tax that was not previously charged on the T-1.
Net Refund to Customer-Represents the refund to the customer after adding back the additional tax on the T-1.
Primus Telecommunications, Inc.
7901 Jones Branch Drive • Suite 900 • McLean, VA 22102 USA
Phone: 703.902.2800 • Fax: 703.902.2814 • www.primustel.com
6.5% 1249 $128,120 $162,748 $186,837 49.3%
1180 $124,256 $157,839 $181,202 46.6% 1250 $128,176 $162,819 $186,919 49.3%
1181 $124,312 $157,910 $181,284 46.6% 1251 $128,232 $162,890 $187,000 49.4%
1182 $124,368 $157,981 $181,366 46.6% 1252 $128,288 $162,961 $187,082 49.4%
1183 $124,424 $158,053 $181,447 46.7% 1253 $128,344 $163,032 $187,164 49.4%
1184 $124,480 $158,124 $181,529 46.7% 1254 $128,400 $163,103 $187,245 49.5%
1185 $124,536 $158,195 $181,611 46.8% 1255 $128,456 $163,174 $187,327 49.5%
1186 $124,592 $158,266 $181,692 46.8% 1256 $128,512 $163,246 $187,409 49.6%
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08 by
Resolution No. 1027. This notice is being forwarded to you as required by Nebraska
Statutes section 14-805, et seq. Enclosed is a certified copy of the Resolution.
Sincerely,
Buster Brown
City Clerk
BJB/te
•
Ce o
ork Assignment Dollars Committed Quarter (NTP)to Date