August 02, 2012
Sprint Issues Statement on the Security and Exchange Commission’s Investigation of its State and Local Sales Tax Collection
Company reiterates lack of merit in the New York Attorney General’s lawsuit and its plans to fight for the rights of New York consumers
OVERLAND PARK, Kan. (BUSINESS WIRE), August 02, 2012 - Sprint (NYSE: S) today issued the following statement in response to the Securities and Exchange Commission investigation of Sprint’s state and local sales tax collection. This investigation follows a filing by the New York Attorney General alleging Sprint did not collect the proper New York state taxes from Sprint’s New York customers:
“Sprint recently received a subpoena from the Securities and Exchange Commission in connection with its investigation of our practices in the collection and remittance of state and local taxes, including those in New York. Sprint is cooperating with the SEC in regards to its inquiries and we believe our practices with respect to state and local taxes on mobile wireless services are in compliance with applicable law.
“Because the New York Attorney General’s lawsuit and complaint is without merit, Sprint filed on June 14, 2012, to have the case dismissed and intends to continue defending the matter vigorously. The Attorney General's office claims New York consumers, who already pay some of the highest wireless taxes in the country, should pay even more. We intend to stand up for New York consumers' rights and fight this lawsuit.”
About Sprint Nextel
Sprint Nextel offers a comprehensive range of wireless and wireline communications services bringing the freedom of mobility to consumers, businesses and government users. Sprint Nextel served more than 56 million customers at the end of the second quarter of 2012 and is widely recognized for developing, engineering and deploying innovative technologies, including the first wireless 4G service from a national carrier in the United States; offering industry-leading mobile data services, leading prepaid brands including Virgin Mobile USA, Boost Mobile, and Assurance Wireless; instant national and international push-to-talk capabilities; and a global Tier 1 Internet backbone. The American Customer Satisfaction Index rated Sprint No. 1 among all national carriers in customer satisfaction and most improved, across all 47 industries, during the last four years. Newsweek ranked Sprint No. 3 in its 2011 Green Rankings, listing it as one of the nation’s greenest companies, the highest of any telecommunications company. You can learn more and visit Sprint at www.sprint.com or www.facebook.com/sprint and www.twitter.com/sprint.
Crystal Davis, 571-288-606