February 2025 Content Changes

Created:

January 29, 2025

Updated:

January 29, 2025

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Summary of Content Changes

In our ongoing commitment to content transparency, starting this month, taxability decisions will be published in the taxability area of the CereTax client portal for all telecommunications product and service codes.

Effective February 1, 2025, the Arkansas High-Cost Fund Assessment rate has decreased from 13.25% to 11.92%.

We corrected the California PUC User Fee to exempt Lifeline customers per PUC General Order 153, Sec. 7.9.4.
After a quality review, we made changes to the San Francisco Telephone Users Tax. Most telecommunications services are exempt from the Telephone Users Tax for residential customers. However, residential customers are taxed on wireless services and nomadic VOIP.

This month's publication contains changes to the Colorado district Emergency Telephone Charges. Several changes to these fees are effective February 1, 2025. Please see our full rate change report for a list of all the changes.

We have reconfigured our sales and use tax content within Illinois to remove sales and use taxes from product and service codes that are subject to the Chicago Personal Property Lease Transaction Tax. This change applies only inside the City of Chicago. Pursuant to 35 ILCS 120/2-5(49)(2), gross receipts from the lease of “property that is subject to a tax on lease receipts imposed by a home rule unit of local government if the ordinance imposing that tax was adopted prior to January 1, 2023” are exempt from all sales and use taxes.

There are several local sales and use tax changes effective in Tennessee on February 1, 2025:

Davidson County's rate has increased from 2.25% to 2.75%.
Giles County's rate has increased from 2.5% to 2.75%. The city of Pulaski had a 0.25% city rate prior to this change to Giles County's rate. Since the Giles County rate has increased to 2.75%, Pulaski no longer has the ability to impose a city rate. As a result, the city rates of 0.25% for Pulaski have been expired from our content effective February 1, 2025, as well.
Public Chapter 917 (2024) authorizes cities to reduce their sales tax component on food for home consumption, or to exempt food for home consumption entirely from that component. The city of Hendersonville has imposed a 0.5% city sales tax component since June 1, 2024. Effective February 1, 2025, the city elected to exempt food from home consumption entirely from their 0.5% city sales tax rate. As a result, the tax rate imposed on food for home consumption within the city of Hendersonville is now 2.25%.

Following a quality review of our Washington Local Utility Tax content, we are removing taxability from certain interstate and international PS codes. RCW 35.21.714 and RCW 35A.82.060 state that these Local Utility Taxes may only be applied on "intrastate toll telephone services".