Laws, Regulations & Annotations
Business Taxes Law Guide – Revision 2016
Sales and Use Tax Annotations
515.0000 SERVICE ENTERPRISES GENERALLY—Regulation 1501
(e) MISCELLANEOUS ACTIVITIES
515.1330 Tariff Bureau Operations. A tariff bureau is in the business of providing specialized services for certain carriers whose operations are regulated by the Interstate Commerce Commission or the Public Utilities Commission. The clients appoint the bureau as their true and lawful attorney and agent to gain approval, publish, and file freight tariffs and supplements with the regulatory agencies. The services fall under two general categories.
The first occurs prior to the time a new tariff or a change to an existing tariff is proposed. The bureau may perform research to determine if the proposed tariffs interfere with the existing tariff of any carrier, consult with the client to determine rates and their impact on the industry, and consult with the client as to the competitive impact of the rates.
The second occurs after approval of the tariffs by the agencies when the bureau will compile the text of the tariff and rules for printing, footnote tariff authorities, and print the tariffs.
The work performed prior to approval of the freight rates comprise of acts performed as an agent of the carrier and such services are not subject to tax. However, an appropriate breakdown of such charges should be made to the customer. The work performed after approval is in the nature of services in connection with the production and printing of the tariffs and is taxable. 12/30/71; 7/10/96.