• Cable Company Prevails In Challenge To Iowa Property Tax Ruling That Providing VoIP Service Makes It A "Telephone Company"
  • July 12, 2011 | Author: Cherie R. Kiser
  • Law Firm: Cahill Gordon & Reindel LLP - Washington Office
  • This case arose from property tax assessments by the Iowa Department of Revenue (IDR) of Cable One, Inc. for tax years 2008 and 2009.1 The IDR based its central assessment on its authority under Iowa Code chapter 4332 to value telephone and telegraph property. Prior to 2008, Cable One was locally assessed as a cable company for property tax purposes.3 In 2008, the IDR reclassified Cable One as a telephone company and centrally assessed its property pursuant to chapter 433. The IDR claimed that Cable One¿s provision of Voice over Internet Protocol (VoIP) service permitted the IDR to reclassify Cable One as a ¿. . . telephony company operating a telephone line¿ in Iowa. Cable One filed appeals of both assessments, which were consolidated.