HF 2378

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to taxation; sales and use; exempting certain 
  1.3             equipment used in furnishing telephone services; 
  1.4             amending Minnesota Statutes 1998, section 297A.25, by 
  1.5             adding a subdivision. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 1998, section 297A.25, is 
  1.8   amended by adding a subdivision to read: 
  1.9      Subd. 79.  [TELEPHONE EQUIPMENT.] The gross receipts from 
  1.10  the sale of and the storage, use, or consumption of equipment 
  1.11  used directly and primarily to transmit, receive, or switch 
  1.12  telephone signals by a person engaged primarily in furnishing 
  1.13  telephone services to the general public are exempt.  Purchases 
  1.14  of central office switching equipment, private branch exchange 
  1.15  equipment, microwave or radio equipment, repair and replacement 
  1.16  parts, equipment to monitor switching, equipment to test and 
  1.17  train in the use of qualifying equipment, and transmission 
  1.18  equipment including poles, wires, optical fiber, coaxial cable, 
  1.19  and other transmission media that are components of the network 
  1.20  system for providing telephone services are included in this 
  1.21  exemption, regardless of whether purchased by the owner, a 
  1.22  contractor, or subcontractor. 
  1.23     Sec. 2.  [EFFECTIVE DATE.] 
  1.24     Section 1 is effective for sales and purchases occurring 
  1.25  after June 30, 1998.