Plain English Breakdown
The official source material does not provide specific details about the amount of tax reduction or the impact on utility companies and their customers beyond the four-year phase-down period.
Reducing Sales Tax on Utility Services
This bill phases down the state sales tax rate for certain utility services over four years.
What This Bill Does
- Phases down in equal reductions over four years the state gross retail tax rate imposed on the sale of electrical energy, natural or artificial gas, water, steam, and steam heating service to a person for domestic consumption.
Who It Names or Affects
- People who buy electricity, gas, water, steam, or steam heating for home use.
- Utility companies that sell these services.
Terms To Know
- Domestic consumption
- Using utility services in a home rather than for business purposes.
- Phase down
- Gradually reducing something over time, step by step.
Limits and Unknowns
- The bill does not specify the exact amount of tax reduction.
- It is unclear how this change will affect utility companies and their customers beyond the four-year period.