Opinion ID: 1213419
Heading Depth: 1
Heading Rank: 3

Heading: Reservation and Ticketing Equipment

Text: United's highly sophisticated electronic system, known under the trade name as Apollo, collects, processes, and computerizes information which is critical to the operational efficiency and safety of its aircraft, and disseminates it through terminals located in each airport from which United operates. The information so disseminated provides the crew of each of its aircraft with wealther data, flight plans, cruising altitude, fuel limitations, weight limits, safety speeds, and other data. The system also furnishes information for reservations and ticketing data and prints passenger tickets automatically. The Department concedes, as it must, that some of the data furnished by the Apollo system is critical to and used directly in rendering common carrier service. But it argues that the reservation and ticketing function performed by Apollo is not used directly in keeping United's planes in the air and, therefore, the equipment should be separated for tax purposes. We do not agree. Here we are dealing with an integrated information system which is critical and essential to the effective renditionof United's common carrier service. Thus, all the functions performed by Apollo are used directly in the rendition of United's common carrier service and, therefore, the reservations and ticketing equipment, which is an integral part of the Apollo system, is exempt from taxation under Code | 58-441.6(u).