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21LSO-0608
2021
STATE OF WYOMING
21LSO-0608
Numbered
2.0
HOUSE BILL NO. HB0176
Digital streaming tax.
Sponsored by: Representative(s) Henderson, Harshman, Sweeney and Yin
A BILL
for
AN ACT relating to sales and use tax; amending provisions governing the imposition of sales and use tax on specified digital products; specifying distribution of the sales and use tax on specified digital products as specified; and providing for an effective date.
Be It Enacted by the Legislature of the State of Wyoming:
Section 1
.
W.S. 21
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15
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111(a)(i), 39
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15
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103(a)(i)(P), 39
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15
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111(b)(intro) and by creating a new subsection (r), 39
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16
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103(a)(i) and 39
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111(b)(intro) and by creating a new subsection (p) are amended to read:
21
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15
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111.
Definitions.
(a)
As used in this act, unless the context requires otherwise:
(i)
"Capital construction account" or "school capital construction account" means the account into which revenues are deposited pursuant to W.S. 9
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4
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601(a)(vii), (b)(i) and (iv), into which the proceeds from any revenue bonds are credited under W.S. 21
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15
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108, and into which any other funds are appropriated
or otherwise credited
to the account for purposes of this act. All funds within the account shall be invested by the state treasurer and all investment earnings from the account shall be credited to the account.
Funds within the account shall be expended only for purposes of and in the manner prescribed by this act;
39
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15
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103.
Imposition.
(a)
Taxable event.
The following shall apply:
(i)
Except as provided by W.S. 39
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105, there is levied an excise tax upon:
(P)
Except as otherwise provided in this subparagraph, the sales price of every retail sale of specified digital products within the state
,
. A sale of
including the sales price for access to
specified digital products
is only subject to the tax under this section if
through a streaming or subscription service that does not provide
the purchaser
has
with
permanent use of the specified digital product.
A vendor who purchases specified digital products for further commercial broadcast, rebroadcast, transmission, retransmission, licensing, relicensing, distribution, redistribution or exhibition in whole or in part to another person shall be considered a wholesaler and not subject to the tax imposed by this article. Those services provided by a trade association as part of a member benefit are not subject to the tax imposed by this subparagraph.
39
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15
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111.
Distribution.
(b)
Revenues earned under W.S. 39
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15
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104 during each fiscal year shall be recognized as revenue during that fiscal year for accounting purposes. Except as otherwise provided in
subsection
subsections
(p)
and (r)
of this
section, for all revenue collected by the department under W.S. 39
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15
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104 the department shall:
(r)
The sales tax applied to the sales price paid for access to specified digital products through a streaming or subscription service that does not provide the purchaser with permanent use of the specified digital product pursuant to W.S. 39
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103(a)(i)(P) shall be credited as follows:
(i)
One
‑
third (1/3) to the common school account in the permanent land fund;
(ii)
One
‑
third (1/3) to the school foundation program account;
(iii)
One
‑
third (1/3) to the school capital construction account.
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16
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103.
Imposition.
(a)
Taxable event.
The following shall apply:
(i)
Persons making first use of taxable services or storing, using or consuming tangible personal property or specified digital products, except as otherwise provided in this paragraph, are liable for the tax imposed by this article.
Specified digital products are only subject to the tax imposed by this article if the purchaser has permanent use of the specified digital product.
A vendor who purchases specified digital products for further commercial broadcast, rebroadcast, transmission, retransmission, licensing, relicensing, distribution, redistribution or exhibition in whole or in part to another person shall be considered a wholesaler and not subject to the tax imposed by this article. Those services provided by a trade association as part of a member benefit are not subject to the tax imposed by this subparagraph.
The liability is not extinguished until the tax has been paid to the state but a receipt given to the person by a registered vendor in accordance with paragraph (c)(i) of this section is sufficient to relieve the purchaser from further liability;
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111.
Distribution.
(b)
Revenues earned under this article during each fiscal year shall be recognized as revenue during that fiscal year for accounting purposes.
Except as otherwise provided in subsection (p) of this section, r
evenue collected by the department from the taxes imposed by this article shall be transferred to the state treasurer who shall, as specified by the department:
(p)
The use tax applied to the use of specified digital products through a streaming or subscription service that does not provide the user with permanent use of the specified digital product pursuant to W.S. 39
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103(a)(i) shall be credited as follows:
(i)
One
‑
third (1/3) to the common school account in the permanent land fund;
(ii)
One
‑
third (1/3) to the school foundation program account;
(iii)
One
‑
third (1/3) to the school capital construction account.
Section 2
.
This act is effective July 1, 2021
.
(END)
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HB0176