§ 57-39.4-15 — (314) Telecommunications sourcing

North Dakota § 57-39.4-15

• Jurisdiction: North Dakota
• Title 57: Taxation
• Ch. 57-39.4: Streamlined Sales and Use Tax Agreement

Text

1. Except for the defined telecommunications services in subsection 3, the sale of
telecommunications services sold on a call-by-call basis shall be sourced to each level
of taxing jurisdiction where the call originates and terminates in that jurisdiction or each
level of taxing jurisdiction where the call either originates or terminates and in which
the service address is also located.
2. Except for the defined telecommunications services in subsection 3, a sale of
telecommunications services sold on a basis other than a call-by-call basis is sourced
to the customer's place of primary use.
3. The sale of the following telecommunications services shall be sourced to each level
of taxing jurisdiction as follows:
a. A sale of mobile telecommunications services, other than air-to-ground
radiotelephone service and prepaid calling service, is sourced to the customer's
place of primary use as required by the Mobile Telecommunications Sourcing Act.

b. A sale of post-paid calling service is sourced to the origination point of the
telecommunications signal as first identified by either the seller's
telecommunications system, or information received by the seller from its service
provider, if the system used to transport such signals is not that of the seller.
c. A sale of prepaid calling service or a sale of a prepaid wireless calling service is
sourced in accordance with section 57-39.4-11. However, in the case of a sale of
prepaid wireless calling service, the rule provided in subdivision e of subsection 1
of section 57-39.4-11 shall include as an option the location associated with the
mobile telephone number.
d. A sale of a private communication service is sourced as follows:
(1) 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.
(2) Service where all customer 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.
(3) Service for segments of a channel between two customer channel
termination points located in different jurisdictions and which segment of
channel are separately charged is sourced fifty percent in each level of
jurisdiction in which the customer channel termination points are located.
(4) Service for segments of a channel located in more than one jurisdiction or
levels of jurisdiction and which segments are 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.
4. The sale of internet access service is sourced to the customer's place of primary use.
5. The sale of an ancillary service is sourced to the customer's place of primary use.