Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2017
Sales and Use Tax Annotations
330.0000 LEASES OF TANGIBLE PERSONAL PROPERTY—IN GENERAL—Regulation 1660
(a) IN GENERAL
330.2988 Temporary Power Poles. A firm furnishes poles and wiring, hooks them into the power grid of a utility, and installs the poles by imbedding them in the ground at construction sites. A single separate charge is made for delivery, installation, and removal. Most leases are for periods of 60–90 days with a few for 3 to 6 months. The utilities place no time limit on how long the poles may be in place.
The lease is a lease of real property. Under section 6016.5, power poles are excluded from the definition of tangible personal property. Additionally, the poles are attached to the realty and are intended to remain for whatever time is necessary to accomplish the lessee's purpose and, thus, are improvements to realty. 12/22/89.