15-53-132. (Temporary) Telecommunications services other than mobile telecommunications services. (1) Except as provided in subsection (2), the sale of a telecommunications service paid for on a call-by-call basis is taxable in this state if the service address is located within the state.
(2) The sale of a telecommunications service paid for on a postpaid calling basis is taxable in this state if the origination point of the telecommunications signal as first identified by either the seller's telecommunications system or, if the system used to transport the signal is not that of the seller, the information received by the seller from its service provider is within the state.
(3) The sale of a private communications service is taxable in this state in the following manner:
(a) all charges related to a customer channel termination point located within the state are taxable within the state;
(b) all charges for service where all of the customer channel termination points are located entirely within the state are taxable within the state;
(c) charges for a segment of a channel between two taxpayer channel termination points, one located inside the state and one located outside the state, and for which the segment is separately charged are apportioned 50% to this state for taxation purposes; and
(d) charges for segments of a channel located in this state and one or more other states and for which the segments are not separately billed are apportioned to this state for taxation purposes based on the percentage determined by dividing the number of taxpayer channel termination points in this state by the total number of taxpayer channel termination points.
(4) In the case of a bundled transaction of telecommunications services, if the charges are attributable to services that are taxable and services that are nontaxable, the portion of the price attributable to the nontaxable services is subject to tax unless the provider can reasonably identify the portion of nontaxable services from its books and records kept in the regular course of business. (Terminates on occurrence of contingency--sec. 8, Ch. 515, L. 2003.)
History: En. Sec. 4, Ch. 515, L. 2003.
Structure Montana Code Annotated
Chapter 53. Retail Telecommunications Excise Tax
15-53-107. through 15-53-110 reserved
15-53-116. through 15-53-125 reserved
15-53-128. Legislative findings and declaration of purpose
15-53-130. Imposition of retail telecommunications excise tax -- rate
15-53-131. Mobile telecommunications services
15-53-132. Telecommunications services other than mobile telecommunications services
15-53-133. and 15-53-134 reserved
15-53-135. Separate statement of tax -- no advertising to absorb or refund tax
15-53-136. Multistate exemption
15-53-137. Application for permission to report on accrual basis
15-53-138. Rural telephone cooperatives and rural electric cooperatives -- subject to excise tax
15-53-139. Return required of telecommunications services providers
15-53-140. Credit for taxes paid on worthless account -- taxes paid if account collected
15-53-141. through 15-53-144 reserved
15-53-145. Deficiency assessment -- review -- interest -- penalty
15-53-146. Credit for overpayment -- interest on overpayment
15-53-147. Penalty and interest for delinquency -- waiver
15-53-148. Estimation of tax upon failure to file return -- notice
15-53-149. Warrant for distraint
15-53-150. Statute of limitations
15-53-151. through 15-53-154 reserved