The present invention is directed toward a method and apparatus for transferring data across an isolation barrier using high speed analog encoded signals. A line side circuit interfaces with tip and ring contacts on one side of a capacitive isolation barrier that isolates the line side circuit from a modem side circuit. During an on-hook state, the line side circuit converts an analog line side voltage signal to a frequency signal and then encodes the frequency signal into a high frequency pulse-width-modulated (PWM) signal. The high frequency PWM signal is transmitted across the capacitive isolation barrier to the modem side circuit. During an off-hook state, the analog line side voltage is again encoded into a high frequency pulse-width-modulated (PWM) signal for transmission across the isolation barrier. The modem side circuit recovers the transmitted PWM signal and converts it into a digital count value that represents the amplitude of the analog voltage observed at the tip and ring. The digital count value may be directly processed by a processor on the modem side or may be converted back to an analog signal.