Current through Register Vol. 54, No. 50, December 14, 2024
Section 45.3 - Street repairs(a)General. This section has been revised as a result of the decision rendered in Equitable Gas v. Commonwealth, 18 Pa. Commw. 418 (1975), which held that the purchase of paving materials used by a public utility incidental to the construction, reconstruction, paving or repair of public roads as a result of excavation necessitated by the installation or repair of the public utility facility under the public roads is a use of tangible personal property directly related to the rendition of a public utility service and, therefore, comes within the exclusions in the Tax Act of 1963 for Education (72 P. S. §§ 3403-1-3403-605) (Repealed).(b)Scope of exclusions. The scope of exclusions for the purchase of road paving materials prior to March 4, 1971, shall be as follows: (1) The purchase of road paving materials prior to March 4, 1971, by a person engaged in the business of rendering a public utility service is not subject to Pennsylvania sales tax, if the paving materials are incidental to the construction, reconstruction, paving or repair of public roads damaged as a result of excavation necessitated by the installation or repair of the public utility facility beneath the public roads.(2) The purchase of road paving materials on behalf of a public utility under or in fulfillment of a written fixed price sales contract or construction contract or formal bid is not subject to Pennsylvania sales tax, if the paving materials are incidental to the construction, reconstruction, paving or repair of public roads damaged as a result of excavation necessitated by the installation or repair of the public utility facility beneath the public roads.The provisions of this § 45.3 adopted September 8, 1972, effective 9/9/1972, 2 Pa.B. 1686; amended January 7, 1977, January 8, 1977, 7 Pa.B. 76; amended March 19, 1993, effective 3/20/1993, 23 Pa.B. 1322.