To PTC Management, The following report states a series of analysis dedicates Prestige Telephone Company’s (PTC) commercial sales’ change and consumers’ reaction due to the proposing of excise tax by government. This report is generally divided into three parts, situation before excise tax has proposed, the impact of the proposed 1% excise tax, and a proposition of a more win-win solution to generate same tax revenue. In March, before excise tax has proposed, commercial customers are charged $800 per hours and total consuming hour is138 hours, total revenue is $110400. Besides, raising or lowering commercial price by $150 will reduce or boost demand for commercial services by 12%. Base on these two conditions, for each additional hours customer consuming, the price of commercial sales will decrease by 9.058 dollars（All data involve in this report is accurate to two decimal places）. The price has a linear relation with quantities consumers’ purchasing. Also, PTC commercial capacity is equal to 85% of revenue maximizing output (which is 96.19 units of PTC products). Under above conditions, before excise tax has proposed, the maximum revenue is $113380.21 with 96.19 consumers’ purchasing at price of $1178.71 in March. In April, after a 1% excise tax was proposed, our price increased by $8. Quantities of output decreased by 0.88. Also, revenue decreased by $2587.25 in total. Furthermore, as customers have a certain amount of income, price of the good increases, customers’ preference have to change to corresponding bundles. When price goes up, consumers have to decrease quantities purchasing, therefore their satisfaction level goes down by 1098.48 units. Moreover, instead of imposing a 1% excise tax, government could generate the same amount of tax revenue by imposing an income tax on customers. Comparing imposing income tax and excise tax, we know that imposing an income tax on costumers will be less harmful on costumers’ satisfaction level of purchasing goods. To collect the same amount of tax revenue, it is better to impose an income tax than proposing a excise tax. In conclusion, PTC should dissuade the government from imposing a 1% excise tax on commercial data service. Instead of imposing excise tax, government should generate tax revenue by imposing an income tax. Since imposing an income tax will cause more costumers satisfaction than imposing exercise tax while maintaining the same amount of tax revenue.