Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2016
Sales and Use Tax Annotations
505.0000 SALES TO THE UNITED STATES AND ITS INSTRUMEN-TALITIES—Regulation 1614
(c) STATE OR LOCAL AGENCIES RECEIVING FEDERAL FUNDS
505.0746 Railroad Track Components. A taxpayer enters into a contract to furnish railroad track components such as switches, frogs, point protectors, switch stands, guard rails, derails, and insulated joints to a California regional rail authority. Tax applies to sales to governmental entities other than the U.S. and its agencies. While 49 U.S.C. section 11503(b) operates to exempt sales of rolling stock from tax, it does not apply to track components. Further, a tax imposed on retail sales of track components does not discriminate against a rail carrier. 5/23/95.