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Sprint faces $300 million lawsuit for alleged tax fraud

Published Jul 2nd, 2013 4:40PM EDT
Sprint Lawsuit Tax Fraud

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A New York Supreme Court judge has denied Sprint’s request to dismiss a $300 million lawsuit that claims the carrier knowingly failed to pay New York sales taxes, Bloomberg reported. New York Attorney General Eric Schneiderman accused Sprint of not collecting and paying sales taxes on some of its flat-rate access plans. The company’s neglect allegedly cost state and local governments more than $100 million. Wireless carriers must collect and pay sales taxes for plans that have a set number of minutes and a fixed monthly charge. Schneiderman alleges that Sprint didn’t pay some of its taxes to stay competitive with rivals AT&T and Verizon, both of which paid their New York sales tax bills in full.

Dan joins the BGR team as the Android Editor, covering all things relating to Google’s premiere operating system. His work has appeared on Fox News, Fox Business and Yahoo News, among other publications. When he isn’t testing the latest devices or apps, he can be found enjoying the sights and sounds of New York City.