S.D. Admin. R. 64:06:02:92

Current through Register Vol. 50, page 162, June 24, 2024

Section 64:06:02:92 - Rules for sourcing specific telecommunications services

The sales of these telecommunications services shall be sourced to each level of taxing jurisdiction as follows:

(1) A sale of mobile telecommunications service, other than air-to-ground radiotelephone service and prepaid calling service, is sourced to the customer's place of primary use as required by Pub. L. No. 106-252 (Mobile Telecommunications Sourcing Act) (July 28, 2000);

(2) A sale of post-paid calling service is sourced to the origination point of the telecommunications signal first identified by either the seller's telecommunications system, or information received by the seller from its service provider, where the system used to transport such signals is not that of the seller;

(3) A sale of prepaid calling service or a sale of a prepaid wireless calling service is sourced as tangible personal property. However, in the case of a sale of a prepaid wireless calling service, the seller may source the sale to the location associated with the mobile telephone number;

(4) A sale of private communication service is sourced as follows:

(a) Service for a separate charge related to a customer channel termination point is sourced to each level of jurisdiction in which such customer channel termination point is located;

(b) Service where all customer channel termination points are located entirely within one jurisdiction or levels of jurisdiction is sourced in such jurisdiction in which the customer channel termination points are located;

(c) Service for segments of a channel between two customer channel termination points located in different jurisdictions when each segment is separately charged, is sourced 50% in each level of jurisdiction in which the customer channel termination points are located;

(d) Service for segments of a channel located in more than one jurisdiction or levels of jurisdiction and each segment is not separately billed, is sourced in each jurisdiction based on the percentage determined by dividing the number of customer channel termination points in such jurisdiction by the total number of customer channel termination points;

(5) The sale of Internet access service is sourced to the customer's place of primary use; and

(6) The sale of an ancillary service is sourced to the customer's place of primary use

S.D. Admin. R. 64:06:02:92

28 SDR 178, effective 7/1/2002; 33 SDR 226, effective 6/27/2007.

General Authority: SDCL 10-45-108.

Law Implemented: SDCL 10-45-108.