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An example of the NTIA converter box $40 subsidy "coupon", which is in the form of a bank card that can only be used as payment for a converter box purchase. To implement the coupon program, the Act authorized NTIA to use up to $990 million from the fund, including $100 million for program administration.
The United States government had set up a program to offer consumers a $40 "coupon" which could be used toward the purchase of a coupon-eligible converter box; that program ended in July 2009. History
Retail prices for the boxes range from $40 to $70 (plus tax and/or shipping); after applying the coupons, the price to the consumer would be between $5 and $40 per box. Because it was actually used as a payment , despite the name " coupon ", consumers paid state and local sales tax on the coupon amount, which in effect reduced its value by ...
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Section 3005 of the Act also provided one and a half billion dollars for the Digital Transition and Public Safety Act of 2005 and defined in detail what comprised a coupon-eligible converter box for Digital Television broadcasts in the United States.
Two $40 coupons were made available per US address [11] nominally from January 1, 2008, through March 31, 2009; each coupon could be used toward the purchase of one approved coupon-eligible converter box. The coupons expired 90 days after initial mailing and were not renewable.