Amendment ASA1-SB40

SB40-ASA1,1055,3 (b) 1. The retail sale of tangible personal property and a service, if the tangible personal property is essential to the use of the service, and provided exclusively in connection with the service, and if the true object of the transaction is the service.

SB40-ASA1,1055,6 2. The retail sale of a service and specified digital goods or additional digital goods, if such goods are essential to the use of the service, and provided exclusively in connection with the service, and if the true object of the transaction is the service.

SB40-ASA1,1055,10 3. The retail sale of a service and items or property under s. 77.52 (1) (b) or (c), if such property or items are essential to the use of the service, and provided exclusively in connection with the service, and if the true object of the transaction is the service.

SB40-ASA1,1055,13 (c) The retail sale of services, if one of the services is essential to the use or receipt of another service, and provided exclusively in connection with the other service, and if the true object of the transaction is the other service.

SB40-ASA1,1055,19 (d) A transaction that includes taxable and nontaxable products, if the seller's purchase price or the sales price of the taxable products is no greater than 10 percent of the seller's total purchase price or sales price of all the bundled products, as determined by the seller using either the seller's purchase price or sales price, but not a combination of both, or, in the case of a service contract, the full term of the service contract.

SB40-ASA1,1056,5 (e) The retail sale of taxable tangible personal property or items or property under s. 77.52 (1) (b) or (c) and tangible personal property or items or property under s. 77.52 (1) (b) or (c) that is exempt from the taxes imposed under this subchapter, if the transaction includes food and food ingredients, drugs, durable medical equipment, mobility-enhancing equipment, prosthetic devices, or medical supplies and if the seller's purchase price or the sales price of the taxable tangible personal property or items or property under s. 77.52 (1) (b) or (c) is no greater than 50 percent of the seller's total purchase price or sales price of all the tangible personal property or items or property under s. 77.52 (1) (b) or (c) included in what would otherwise be a bundled transaction, as determined by the seller using either the seller's purchase price or the sales price, but not a combination of both.

SB40-ASA1, s. 1881 Section 1881. 77.51 (1fm) of the statutes is created to read:

SB40-ASA1,1056,10 77.51 (1fm) "Candy" means a preparation of sugar, honey, or other natural or artificial sweetener combined with chocolate, fruit, nuts, or other ingredients or flavorings in the form of bars, drops, or pieces. "Candy" does not include a preparation that contains flour or that requires refrigeration.

SB40-ASA1, s. 1882 Section 1882. 77.51 (1j) of the statutes is created to read:

SB40-ASA1,1056,14 77.51 (1j) "Catalog" means a printed and bound, stitched, sewed, or stapled book containing a list and description of property or services for sale, regardless of whether a price is specified.

SB40-ASA1, s. 1883 Section 1883. 77.51 (1n) of the statutes is created to read:

SB40-ASA1,1056,18 77.51 (1n) "Computer" means an electronic device that accepts information in digital or similar form and that manipulates such information to achieve a result based on a sequence of instructions.

SB40-ASA1, s. 1884 Section 1884. 77.51 (1p) of the statutes is created to read:

SB40-ASA1,1056,23 77.51 (1p) "Computer software" means a set of coded instructions designed to cause a computer or automatic data processing equipment to perform a task. "Computer software" does not include specified digital goods and additional digital goods.

SB40-ASA1, s. 1885 Section 1885. 77.51 (1r) of the statutes is created to read:

SB40-ASA1,1057,4 77.51 (1r) "Conference bridging service" means an ancillary service that links 2 or more participants of an audio or video conference call and may include providing a telephone number, but does not include the telecommunications services used to reach the conference bridge.

SB40-ASA1, s. 1886 Section 1886. 77.51 (2k) of the statutes is created to read:

SB40-ASA1,1057,7 77.51 (2k) "Delivered electronically" means delivered to a purchaser by means other than by tangible storage media.

SB40-ASA1, s. 1887 Section 1887. 77.51 (2m) of the statutes is created to read:

SB40-ASA1,1057,14 77.51 (2m) "Delivery charges" means charges by a seller to prepare and deliver tangible personal property, items or property under s. 77.52 (1) (b) or (c), specified digital goods, additional digital goods, or services to a location designated by the purchaser of the tangible personal property, items or property under s. 77.52 (1) (b) or (c), specified digital goods, additional digital goods, or services, including charges for transportation, shipping, postage, handling, crating, and packing.

SB40-ASA1, s. 1888 Section 1888. 77.51 (3c) of the statutes is created to read:

SB40-ASA1,1057,18 77.51 (3c) "Detailed telecommunications billing service" means an ancillary service that separately indicates information pertaining to individual calls on a customer's billing statement.

SB40-ASA1, s. 1889 Section 1889. 77.51 (3n) of the statutes is created to read:

SB40-ASA1,1057,21 77.51 (3n) "Dietary supplement" means a product, other than tobacco, that is intended to supplement a person's diet, if all of the following apply:

SB40-ASA1,1057,23 (a) The product contains any of the following ingredients or any combination of any of the following ingredients:

SB40-ASA1,1057,24 1. A vitamin.

SB40-ASA1,1057,25 2. A mineral.

SB40-ASA1,1058,1 3. An herb or other botanical.

SB40-ASA1,1058,2 4. An amino acid.

SB40-ASA1,1058,4 5. A dietary substance that is intended for human consumption to supplement the diet by increasing total dietary intake.

SB40-ASA1,1058,5 6. A concentrate, metabolite, constituent, or extract.

SB40-ASA1,1058,9 (b) The product is intended for ingestion in tablet, capsule, powder, soft-gel, gel-cap, or liquid form, or, if not intended for ingestion in such forms, is not represented as conventional food and is not represented for use as the sole item of a meal or diet.

SB40-ASA1,1058,11 (c) The product is required to be labeled as a dietary supplement as required under 21 CFR 101.36.

SB40-ASA1, s. 1890 Section 1890. 77.51 (3p) of the statutes is created to read:

SB40-ASA1,1058,17 77.51 (3p) "Digital audio works" means works that result from the fixation of a series of musical, spoken, or other sounds that are transferred electronically, including prerecorded or live music, prerecorded or live readings of books or other written materials, prerecorded or live speeches, or ringtones, but not including audio greeting cards sent by electronic mail.

SB40-ASA1, s. 1891 Section 1891. 77.51 (3pa) of the statutes is created to read:

SB40-ASA1,1058,24 77.51 (3pa) "Digital audiovisual works" means a series of related images that, when shown in succession, impart an impression of motion, along with accompanying sounds, if any, that are transferred electronically. "Digital audiovisual works" includes motion pictures, musical videos, news programs, and live events, but does not include video greeting cards sent by electronic mail or video or electronic games.

SB40-ASA1, s. 1892 Section 1892. 77.51 (3pb) of the statutes is created to read:

SB40-ASA1,1059,4 77.51 (3pb) "Digital books" means works that are generally recognized as books and are transferred electronically. "Digital books" includes novels, nonfiction works, and short stories, but does not include newspapers, periodicals, chat room discussions, or blogs.

SB40-ASA1, s. 1893 Section 1893. 77.51 (3pc) of the statutes is created to read:

SB40-ASA1,1059,14 77.51 (3pc) "Digital code" means a code that provides the person who holds the code a right to obtain an additional digital good, a digital audiovisual work, digital audio work, or digital book and that may be obtained by any means, including tangible forms and electronic mail, regardless of whether the code is designated as song code, video code, or book code. "Digital code" includes codes used to access or obtain any specified digital goods, or any additional digital goods that have been previously purchased, and promotion cards or codes that are purchased by a retailer or other business entity for use by the retailer's or entity's customers. "Digital code" does not include the following:

SB40-ASA1,1059,17 1. A code that represents any redeemable card, gift card, or gift certificate that entitles the holder of such card or certificate to select any specified digital goods or additional digital goods at the cash value indicated by the card or certificate.

SB40-ASA1,1059,19 2. Digital cash that represents a monetary value that a customer may use to pay for a future purchase.

SB40-ASA1, s. 1894 Section 1894. 77.51 (3pd) of the statutes is created to read:

SB40-ASA1,1060,6 77.51 (3pd) "Direct mail" means printed material that is delivered by the U.S. postal service or other delivery service to a mass audience or to addressees on a mailing list provided by or at the direction of the purchaser of the printed material, if the cost of the printed material or any tangible personal property or items or property under s. 77.52 (1) (b) or (c) included with the printed material is not billed directly to the recipients of the printed material. "Direct mail" includes any tangible personal property or items or property under s. 77.52 (1) (b) or (c) provided directly or indirectly by the purchaser of the printed material to the seller of the printed material for inclusion in any package containing the printed material, including billing invoices, return envelopes, and additional marketing materials. "Direct mail" does not include multiple items of printed material delivered to a single address.

SB40-ASA1, s. 1895 Section 1895. 77.51 (3pe) of the statutes is created to read:

SB40-ASA1,1060,9 77.51 (3pe) "Directory assistance" means an ancillary service that provides telephone numbers or addresses.

SB40-ASA1, s. 1896 Section 1896. 77.51 (3pf) of the statutes is created to read:

SB40-ASA1,1060,12 77.51 (3pf) "Distinct and identifiable product" does not include any of the following:

SB40-ASA1,1060,15 (a) Packaging, including containers, boxes, sacks, bags, bottles, and envelopes; and other materials, including wrapping, labels, tags, and instruction guides; that accompany, and are incidental or immaterial to, the retail sale of any product.

SB40-ASA1,1060,19 (b) A product that is provided free of charge to the consumer in conjunction with the purchase of another product, if the sales price of the other product does not vary depending on whether the product provided free of charge is included in the transaction.

SB40-ASA1,1060,20 (c) Any items specified under sub. (12m) (a) or (15b) (a).

SB40-ASA1, s. 1897 Section 1897. 77.51 (3pj) of the statutes is created to read:

SB40-ASA1,1060,24 77.51 (3pj) "Drug" means a compound, substance, or preparation, or any component of them, other than food and food ingredients, dietary supplements, or alcoholic beverages, to which any of the following applies:

SB40-ASA1,1061,3 (a) It is listed in the United States Pharmacopoeia, Homeopathic Pharmacopoeia of the United States, or National Formulary, or any supplement to any of them.

SB40-ASA1,1061,5 (b) It is intended for use in diagnosing, curing, mitigating, treating, or preventing a disease.

SB40-ASA1,1061,6 (c) It is intended to affect a function or structure of the body.

SB40-ASA1, s. 1898 Section 1898. 77.51 (3pm) of the statutes is created to read:

SB40-ASA1,1061,13 77.51 (3pm) "Durable medical equipment" means equipment, including the repair parts and replacement parts for the equipment that is primarily and customarily used for a medical purpose related to a person; that can withstand repeated use; that is not generally useful to a person who is not ill or injured; and that is not placed in or worn on the body. "Durable medical equipment" does not include mobility-enhancing equipment.

SB40-ASA1, s. 1899 Section 1899. 77.51 (3pn) of the statutes is created to read:

SB40-ASA1,1061,18 77.51 (3pn) "Eight hundred service" means a telecommunications service that allows a caller to dial a toll-free number without incurring a charge for the call and is marketed under "800," "855," "866," "877," or "888" toll-free calling, or any other number designated as toll-free by the federal communications commission.

SB40-ASA1, s. 1900 Section 1900. 77.51 (3po) of the statutes is created to read:

SB40-ASA1,1061,21 77.51 (3po) "Electronic" means relating to technology having electrical, digital, magnetic, wireless, optical, electromagnetic, or similar capabilities.

SB40-ASA1, s. 1901 Section 1901. 77.51 (3pq) of the statutes is created to read:

SB40-ASA1,1062,2 77.51 (3pq) "Finished artwork" means the final art used for actual reproduction by photomechanical or other processes or for display purposes. "Finished artwork" also includes all of the following items regardless of whether such items are reproduced:

SB40-ASA1,1062,3 (a) Drawings.

SB40-ASA1,1062,4 (b) Paintings.

SB40-ASA1,1062,5 (c) Designs.

SB40-ASA1,1062,6 (d) Photographs.

SB40-ASA1,1062,7 (e) Lettering.

SB40-ASA1,1062,8 (f) Paste-ups.

SB40-ASA1,1062,9 (g) Mechanicals.

SB40-ASA1,1062,10 (h) Assemblies.

SB40-ASA1,1062,11 (i) Charts.

SB40-ASA1,1062,12 (j) Graphs.

SB40-ASA1,1062,13 (k) Illustrative materials.

SB40-ASA1, s. 1902 Section 1902. 77.51 (3rm) of the statutes is created to read:

SB40-ASA1,1062,16 77.51 (3rm) "Fixed wireless service" means a telecommunications service that provides radio communication between fixed points.

SB40-ASA1, s. 1903 Section 1903. 77.51 (3t) of the statutes is created to read:

SB40-ASA1,1062,21 77.51 (3t) "Food and food ingredient" means a substance in liquid, concentrated, solid, frozen, dried, or dehydrated form, that is sold for ingestion, or for chewing, by humans and that is ingested or chewed for its taste or nutritional value. "Food and food ingredient" does not include alcoholic beverages or tobacco.

SB40-ASA1, s. 1904 Section 1904. 77.51 (4) of the statutes is repealed.

SB40-ASA1, s. 1905 Section 1905. 77.51 (5) of the statutes is amended to read:

SB40-ASA1,1063,7 77.51 (5) For purposes of subs. (13) (e) and (f) and (14) (L) (15a) and s. 77.52 (2m), "incidental" means depending upon or appertaining to something else as primary; something necessary, appertaining to, or depending upon another which is termed the principal; something incidental to the main purpose of the service. Tangible personal property, items or property under s. 77.52 (1) (b) or (c), specified digital goods, or additional digital goods transferred by a service provider is incidental to the service if the purchaser's main purpose or objective is to obtain the service rather than the property, items, or goods, even though the property, items, or goods may be necessary or essential to providing the service.

SB40-ASA1, s. 1906 Section 1906. 77.51 (5d) of the statutes is created to read:

SB40-ASA1,1063,13 77.51 (5d) "International telecommunications services" means telecommunications services that originate or terminate in the United States, including the District of Columbia and any U.S. territory or possession and originate or terminate outside of the United States, including the District of Columbia and any U.S. territory or possession.

SB40-ASA1, s. 1907 Section 1907. 77.51 (5n) of the statutes is created to read:

SB40-ASA1,1063,17 77.51 (5n) "Interstate telecommunications services" means telecommunications services that originate in one state or U.S. territory or possession and terminate in a different state or U.S. territory or possession.

SB40-ASA1, s. 1908 Section 1908. 77.51 (5r) of the statutes is created to read:

SB40-ASA1,1063,21 77.51 (5r) "Intrastate telecommunications services" means telecommunications services that originate in one state or U.S. territory or possession and terminate in the same state or U.S. territory or possession.