Honolulu Star-Bulletin - Kokua Line
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Kokua Line

By June Watanabe

Friday, September 10, 1999


GTE says it assessed
wrong tax

Question: Can you help get an explanation of what the "Public Service Company Tax at 5.88%" is that's listed under "Long Distance Calls Taxes and Surcharges" on my GTE Hawaiian Tel bill? I called GTE on July 8 to inquire about it. The local operator contacted a mainland operator while I was on the phone. The question was relayed to another person. Since this took time, the local operator said she'd call me later. I didn't get any response so I called again on July 9. I asked for the same operator. She was busy so another operator was to help me. The upshot: No calls were returned. I called again on July 12 and another operator took the message. The irony of this is that the first operator insisted she would find out for her own information. I am wondering if this is what happens so that the consumer gets tired after making call after call and just gives up.

Answer: As you can see, it's taken us awhile to get an answer as well.

But the end result is that you'll be getting a credit refund, although it likely will amount to only a few cents.

GTE spokesman Keith Kamisugi apologized to you for the length of time in getting an answer. Based on your query, as well as from other customers, GTE discovered it was wrong in assessing that tax.

Instead of the 5.88 percent public service company tax, GTE should have been assessing the state general excise tax of 4.166 percent, Kamisugi said.

State law mandates a tax on public service companies, such as GTE. That tax generally applies only to in-state services, but was "erroneously applied toward an interstate service charge" -- the "preferred interexchange carrier charge" or PICC, Kamisugi said. The correct tax on interstate services is the state general excise tax.

GTE is correcting its billing system and will be issuing a credit for the difference between the taxes, he said.

In the meantime, "we are looking into this matter to find out the cause of this error and regret that we have been unable to more quickly respond to our customers' questions," Kamisugi said.

He also said the information collected on this matter will be used to ensure that its service representatives and operators are better equipped to handle these types of questions in the future.

The state Department of Taxation, which monitors the public service company and general excise taxes, indicated it was satisfied with GTE's response on the matter.

Tripler's 51 today,sand still in the pink

Tripler Army Medical Center celebrates its 51st anniversary today, with the "mystery" about the landmark atop Moanalua Ridge apparently resolved.

According to Tripler spokeswoman Margaret Tippy, Alan and Stuart Belshe recently stopped by to say the answer was supplied by their stepfather, retired Col. Robert B. "Woody" Wood, who was the Army Corps of Engineers area engineer when Tripler was built, and Sophie Fradsend, who had been the secretary to the chief architect of Tripler.

The architect came into Wood's office one day and said it was time to select the color for the hospital. Wood said he looked out his window at the red dirt on the then-undeveloped Moanalua Ridge and said, "You've got to get it as close to that color as you can because that's the color it will be when you're through."

Wood died earlier this year, on May 22, at the age of 85.

"Tripler staff thanks (the Belshes) for their generous offer to take the time to set the record straight," Tippy said.





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