TO RESOLVE THIS - open your windows firewall via control panel, and *add* 2 ports as follows (opening 2 ports): The first port - name it MJ1, it uses port number 5060 and passes UDP traffic (not TCP). The second port - name it MJ2, it uses port 5070 and passes UDP traffic (not TCP). THEN... reboot your computer with the Magic Jack device plugged in. Then try HP's faxback number (Google it) toll-free to send and receive a confirmation fax.
If you have a HOME ROUTER attached to your DSL, Fios, or Cable modem, go to a command prompt (start>run>command>click ok) and then type in "ipconfig /all" *(without the quotes) at the command prompt. As the results scroll down the screen, use the right scroll bar (drag with your mouse) up through the results, and write down your IP v4 address as well as your Gateway address (###.###.##.##). Then you can open a web browser, type in your *Gateway* address as follows: http://###.###.##.## (substitute the pound signs with the actual numbers) and then hit enter. Your router will prompt you for the username and password - you should have this, or you can Google the default for your brand and model of router. Inside your router's config, open the 2 ports (5060 and 5070 for UDP traffic). If the router's config looks for a "range" of ports (### to ###), enter 5060 to 5060 and 5070 to 5070. The port forwarding (under games and applications heading for linksys) will ask you for an IP address of where to forward the traffic too - enter your computer's IP v4 address that you wrote down from the DOS prompt.
EXTRA TIDBITS:
If you are trying this with a dial-up connection, it won't work. If you still have faxes failing - try to close all open web browsers, and stop any active downloads or streaming internet content while faxing. If you are trying to do this via a wireless connection, 1) set your router's wireless channel to any other besides channel 6; 2) move your computer closer to your wireless router, 3) I wouldn't recommend having your fax machine connected to your wireless router via USB; 4) It won't work well with your neighbor's wireless, 5) a wired connection to your router works best; and 6) A usb-ethernet dongle (device) won't work well either. If you take your laptop on the go, and then bring it back home and connect to your wired or wireless connection, your IP v4 address might change - if it does, run the ipconfig /all command again, write down your IP v4 address, go into your router's config (in your web browser), log in, and then change the 2 UDP ports (5060 and 5070) to forward to your new IP v4 address. You will probably have to put checks in the boxes by the appropriate forwarded ports in your router's configuration, and then click "Save" button at the bottom of the port forwarding page to "activate" your forwarded ports. Then reboot.
SUCCESS STORY:
Have I tried this - yes, and I was successfully able to send and receive a 1 page fax (from HP's faxback service) from my home on a wired connection, and at the truckstop via thier wireless hotspot! EQUIPMENT USED: HP's compaq presario v6000 w/ XP home, SP3, 4 GB of ram; HP OfficeJet J3640 All in one printer/fax/scanner; Magic Jack Device; 802.11 g wireless connection; and a USB 2 cable to connect the printer to the laptop.