Pennsylvania Code › Title 61 - REVENUE › Part I - Department of Revenue › Subpart A - General Provisions › Chapter 9 - REVENUE PRONOUNCEMENTS-STATEMENTS OF POLICY › Section 9.3 - Additional services which are subject to tax

Current through Register Vol. 54, No. 28, July 13, 2024
(a) Beginning October 1, 1991, the services
				  described in this section are subject to State and local sales tax. If the
				  service was purchased prior to October 1, 1991, that portion of the contract
				  relating to the value of the contract after October 1, 1991, is subject to tax.
				  The manufacturing, mining, processing, farming, dairying and public utility
				  exemptions do not apply to the purchase or use of these services. These
				  services are presumed to be subject to Pennsylvania sales tax if the delivery
				  or benefit of the service occurs in this Commonwealth. Use tax is due if the
				  purchaser of the services does not pay tax to the vendor.
(1)
Lobbying services
.
				  Consideration paid to a "lobbyist" for "lobbying" as those terms are defined in
				  the Lobbying Registration and Regulation Act (46 P. S. §§
												148.1-148.7b).
(2)
Adjustment, collection and credit
				  reporting services
. Consideration paid or retained for the adjustment
				  of accounts, the collection of accounts receivable, credit investigations or
				  the issuing of mercantile and consumer credit reports. Charges for providing
				  credit card and collection services by a central agency, debt counseling or
				  adjustment services for individuals or the billing or collection of an account
				  by local exchange telephone companies are not subject to tax.
(3)
Secretarial and editing
				  services
. Charges for secretarial and editing services. Examples
				  include: editing, letter writing, word processing, proofreading, filing,
				  sorting, resume writing, typing, answering services and other secretarial
				  duties. Charges for court reporting or stenographic services are not subject to
				  tax.
(4)
Employment
				  agencies services
. Charges for providing employment services to an
				  employer or an employe of the type performed by an employment agency, executive
				  placing services or labor employment contractor. Charges by theatrical
				  employment agencies, motion picture casting bureaus and services relating to
				  the hiring of farm labor are not subject to tax.
(5)
Help supply services
.
				  Charges for providing temporary or continuing help services under a contract in
				  which the helper is supervised by the person or business needing the help and
				  the helper is on the payroll of the person or agency providing the help.
				  Examples include: labor and manpower pools, employe leasing services, office
				  help supply services, temporary help services, usher services, escort services,
				  bartending services, modeling services and fashion-show model supply services.
				  Charges for services relating to the hiring of farm labor are not subject to
				  tax.
(6)
Computer program
				  services
. Charges for providing computer programming or computer
				  software design and analysis. Examples include: services of the type provided
				  by or through computer programming services, customer computer programming
				  services or assistance services, computer code authors and free-lance computer
				  software writers, software upgrading or modification, custom software
				  programming, custom computer programs or system software developments, custom
				  computer software systems analysis and design and custom application software
				  programming.
(7)
Computer
				  integrated systems design services
.
(i) Charges for developing or modifying
				  computer software and packaging or bundling the software with computer hardware
				  (computer and computer peripheral equipment) to create and market an integrated
				  system for specific application, if the person rendering this service performs
				  the following when providing the service:
(A)
				  The development or modification of the computer software.
(B) The marketing of computer
				  hardware.
(C) Is involved in all
				  phases of systems development from design through installation.
(ii) Examples include: computer
				  systems integration, computer network systems integrations, local area network
				  (LAN) systems integration, office automation or systems analysis, computer
				  systems value-added resellers, computer systems turnkey vendors, computer-aided
				  design (CAD) systems services, computer-aided engineering (CAE) systems
				  services or computer-aided manufacturing (CAM) system services.
(8)
Computer processing,
				  data preparation or processing services
. Charges for computer
				  processing, data preparation or processing services. Examples include:
				  providing processing and preparation of reports from data supplied by the
				  customer or a specialized service, such as data entry services, and the like,
				  making data processing equipment available on an hourly, time-sharing or other
				  basis; computer time-sharing and leasing or rental of computer time; computer
				  tabulating and calculating services; data entry, processing or verification
				  services; key-punch services and optical scanning data services.
(9)
Information retrieval
				  services
. Charges for providing computer online information retrieval
				  services. Examples include: data base information retrieval services; online
				  information retrieval services, and the like.
(10)
Computer facilities management
				  services.
Charges for providing onsite computer facilities management
				  services, controlling the operation of data processing facilities and similar
				  services.
(11)
Other
				  computer-related services
. Charges for supplying computer-related
				  services not described or included in paragraphs (6)-(10). Examples include:
				  computer consulting services; software documentation services; disk, diskette
				  or tape conversion; disk, diskette or tape recertification services; computer
				  hardware and software requirement analysis services; testing and debugging
				  services; software documentation services; software installation services;
				  software training services; reformatting editing services and data recovery
				  services.