Bill Text: IA HF2635 | 2023-2024 | 90th General Assembly | Introduced
Bill Title: A bill for an act relating to the sales tax exemption for the purchase of central office equipment or transmission equipment used by certain entities primarily in the furnishing of telecommunications services on a commercial basis.(Formerly HSB 681.)
Spectrum: Committee Bill
Status: (Engrossed) 2024-04-02 - Subcommittee: Brown, Bousselot, and Quirmbach. S.J. 727. [HF2635 Detail]
Download: Iowa-2023-HF2635-Introduced.html
House
File
2635
-
Introduced
HOUSE
FILE
2635
BY
COMMITTEE
ON
WAYS
AND
MEANS
(SUCCESSOR
TO
HSB
681)
A
BILL
FOR
An
Act
relating
to
the
sales
tax
exemption
for
the
purchase
1
of
central
office
equipment
or
transmission
equipment
2
used
by
certain
entities
primarily
in
the
furnishing
of
3
telecommunications
services
on
a
commercial
basis.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
TLSB
5578HV
(1)
90
jm/jh
H.F.
2635
Section
1.
Section
423.3,
subsection
47A,
paragraph
a,
Code
1
2024,
is
amended
to
read
as
follows:
2
a.
The
sales
price
from
the
sale
of
central
office
equipment
3
or
transmission
equipment
primarily
used
by
local
exchange
4
carriers
and
competitive
local
exchange
service
providers;
5
by
franchised
cable
television
operators,
mutual
companies,
6
municipal
utilities,
cooperatives,
and
companies
furnishing
7
communications
services
that
are
not
subject
to
rate
regulation
8
as
provided
in
chapter
476
;
by
long
distance
companies
as
9
defined
in
section
477.10
;
or
for
a
commercial
mobile
radio
10
service
as
defined
in
47
C.F.R.
§20.3
in
the
furnishing
of
11
telecommunications
services
on
a
commercial
basis.
12
EXPLANATION
13
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
14
the
explanation’s
substance
by
the
members
of
the
general
assembly.
15
This
bill
relates
to
the
sales
tax
exemption
for
the
purchase
16
of
central
office
equipment
or
transmission
equipment
used
17
by
certain
entities
in
the
furnishing
of
telecommunications
18
services
on
a
commercial
basis.
19
The
bill
expands
the
sales
tax
exemption
for
the
purchase
of
20
central
office
equipment
or
transmission
equipment
by
striking
21
the
term
“primarily”
and
making
all
such
purchases
used
in
the
22
furnishing
of
telecommunications
services
exempt
from
sales
23
tax.
24
Code
section
423.3(47A)
defines
the
terms
“central
office
25
equipment”
and
“transmission
equipment”.
26
By
operation
of
Code
section
423.6,
an
item
exempt
from
the
27
imposition
of
the
sales
tax
is
also
exempt
from
the
use
tax
28
imposed
in
Code
section
423.5.
29
-1-
LSB
5578HV
(1)
90
jm/jh
1/
1
