Montana Code 15-53-132. Telecommunications services other than mobile telecommunications services
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.
Terms Used In Montana Code 15-53-132
- Call-by-call basis: means any method of charging for telecommunications services that measures the price by individual calls. See Montana Code 15-53-129
- Mobile telecommunications services: means commercial mobile radio service, as defined in 47 C. See Montana Code 15-53-129
- Postpaid calling basis: means that telecommunications services are obtained by making a payment on a call-by-call basis, either through the use of a card or payment mechanism, such as a bank card, travel card, credit card, or debit card, or by a charge made to a telephone number that is not associated with the origination or termination of the telecommunications service. See Montana Code 15-53-129
- Private communications service: means a telecommunications service that entitles the customer to exclusive or priority use of a communications channel or group of channels between or among termination points, regardless of the manner in which the channel or channels are connected, and includes switching capacity, extension lines, stations, and other associated services that are provided in connection with the use of the channel or channels. See Montana Code 15-53-129
- Service address: means , except as provided in subsection (12)(b):
(i)the location of the telecommunications equipment to which a customer's call is charged and from which the call originates or terminates, regardless of the location to which the bill for the call is sent or the location from which the payment of the bill is received;
(ii)if the location in subsection (12)(a)(i) is not known, the origination point of the signal of the telecommunications service first identified by either the seller's telecommunications system or, if the system used to transport the signal is not that of the seller, in information received by the seller from its service provider; or
(iii)if the location in subsection (12)(a)(i) or (12)(a)(ii) is not known, the location of the customer's place of primary use. See Montana Code 15-53-129
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
(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.)