House File 960 amends Section 423.3, subsection 47A, paragraph a of the Iowa Code to clarify the sales price exemptions for certain telecommunications equipment. The bill specifies that the sales price from the sale of central office equipment or transmission equipment is applicable when used in the furnishing of telecommunications services, internet access services, or a combination of these services on a commercial basis. This applies to local exchange carriers, competitive local exchange service providers, franchised cable television operators, mutual companies, municipal utilities, cooperatives, and other companies providing communications services not subject to rate regulation.

The bill also updates the language to include providers of commercial mobile radio service, ensuring that the exemptions are clearly defined for all relevant service providers. Notably, the term "primarily" has been removed from the existing law, and new language has been inserted to specify the context of the services being provided, thereby broadening the scope of the exemption to encompass a wider range of telecommunications services.

Statutes affected:
Introduced: 423.3
Enrolled: 423.3