[Code of Federal Regulations]
[Title 26, Volume 15]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR49.4253-7]

[Page 248]
 
                       TITLE 26--INTERNAL REVENUE
 
                               (Continued)
 
PART 49--FACILITIES AND SERVICES EXCISE TAXES--Table of Contents
 
                        Subpart C--Communications
 
Sec. 49.4253-7  Exemption for installation charges.

    (a) In general. The taxes imposed by section 4251 do not apply to 
any amount paid as is properly attributable to the installation of any 
instrument, wire, pole, switchboard, apparatus, or equipment.
    (b) Maintenance charges subject to tax. The exemption provided by 
section 4253(g) and paragraph (a) of this section is applicable only to 
amounts paid for installation. Amounts paid for the repair or 
replacement of instruments, wires, poles, switchboards, apparatus, or 
equipment, incidental to ordinary maintenance, are subject to tax.