Telecom Glossary TU
Two Out Of Three Rule
When determining state tax jurisdiction, there are
three locations to consider: originating station, destination
station, and the location that the bill is sent to.
If two out of three are the same, then that state receives
the tax.
Unbundling
The term used to describe the access provided by
local exchange carriers so that other service
providers can buy or lease portions of its network
elements, such as interconnection loops,
to serve subscribers.
Universal Service
The financial mechanism which helps compensate
telephone companies or other communications entities
for providing access to telecommunications
services at reasonable and affordable rates throughout
the country, including rural, insular and high costs
areas, and to public institutions. Companies, not
consumers, are required by law to contribute to this fund.
The law does not prohibit companies from passing this
charge on to customers.
USF
Universal Service Fund Charge or Universal Service
Charge, Carrier Universal Service Charge, Federal Universal
Service Fund Surcharge
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