Taxes, Sales - As introduced, removes the end date of June 30, 2025, from the exemption from sales and use tax for purchases and leases of equipment and infrastructure used to produce broadband communications services or provide internet access. - Amends TCA Title 67, Chapter 6, Part 3.
Companion bill has been assigned Public Chapter Number 449 by the Secretary of State.
  • Bill History
  • Amendments
  • Video
  • Summary
  • Fiscal Note
  • Votes
  • Actions For HB1181Date
    Comp. became Pub. Ch. 44905/15/2025
    Sponsor(s) Added.04/22/2025
    Comp. SB subst.04/22/2025
    H. Placed on Regular Calendar for 4/21/202504/17/2025
    Placed on cal. Calendar & Rules Committee for 4/17/202504/17/2025
    Rec. for pass. if am., ref. to Calendar & Rules Committee04/17/2025
    Rec for pass if am by s/c ref. to Finance, Ways, and Means Committee04/17/2025
    Placed on s/c cal Finance, Ways, and Means Subcommittee for 4/17/202504/16/2025
    Placed on s/c cal Finance, Ways, and Means Subcommittee for 4/14/202504/09/2025
    Placed behind the budget02/26/2025
    Placed on s/c cal Finance, Ways, and Means Subcommittee for 2/26/202502/19/2025
    Assigned to s/c Finance, Ways, and Means Subcommittee02/12/2025
    P2C, ref. to Finance, Ways, and Means Committee02/12/2025
    Intro., P1C.02/10/2025
    Filed for introduction02/06/2025
    Actions For SB0925Date
    Effective date(s) 05/09/202505/15/2025
    Pub. Ch. 44905/15/2025
    Signed by Governor.05/09/2025
    Transmitted to Governor for action.05/01/2025
    Signed by H. Speaker04/30/2025
    Signed by Senate Speaker04/29/2025
    Enrolled and ready for signatures04/28/2025
    Sponsor(s) Added.04/23/2025
    Passed H., Ayes 95, Nays 2, PNV 004/22/2025
    Am. withdrawn. (Amendment 1 - HA0510)04/22/2025
    Subst. for comp. HB.04/22/2025
    Engrossed; ready for transmission to House04/22/2025
    Passed Senate as amended, Ayes 32, Nays 004/22/2025
    Senate adopted Amendment (Amendment 1 - SA0445)04/22/2025
    Placed on Senate Regular Calendar for 4/22/202504/21/2025
    Recommended for passage with amendment/s, refer to Senate Calendar Committee Ayes 11, Nays 0 PNV 004/21/2025
    Placed on Senate Finance, Ways, and Means Committee calendar for 4/21/202504/17/2025
    Placed on Senate Finance, Ways, and Means Committee calendar for 4/15/202504/14/2025
    Rule #83(8) Suspended, to be heard in Senate Finance, Ways & Means Committee on 4/15/202504/14/2025
    Sponsor(s) Added.02/25/2025
    Refer to Senate Finance, Ways & Means Committee w/ negative recommendation02/25/2025
    Placed on Senate FW&M Revenue Subcommittee calendar for 2/25/202502/18/2025
    Refer to Senate F,W&M Revenue Subcommittee02/18/2025
    Passed on Second Consideration, refer to Senate Finance, Ways, and Means Committee02/12/2025
    Introduced, Passed on First Consideration02/10/2025
    Filed for introduction02/05/2025
  • AmendmentsFiscal Memos
    HA0510Amendment 1-0 to HB1181Fiscal Memo for HA0510 (7417)  
    AmendmentsFiscal Memos
    SA0445Amendment 1-0 to SB0925Fiscal Memo for SA0445 (7417)  

    NOTE: Each fiscal memorandum applies only to the amendment(s) identified in the memorandum. The fiscal memorandum must be matched to any amendments that have been adopted.

  • Videos containing keyword: HB1181

  • Fiscal Summary

    STATE GOVERNMENT

    REVENUE

    General Fund

    FY25-26 & Subsequent Years

    ($35,000,000)

       


    Bill Summary

     

     

          Until June 30, 2025, present law provides that there is exempt from the sales and use tax purchases and leases of all equipment, machinery, software, ancillary components, appurtenances, accessories, or other infrastructure that is used in whole or in part to either:

     

          Produce broadband communications services, including broadcasting, distributing, sending, receiving, storing, transmitting, retransmitting, amplifying, switching, providing connectivity for, or routing communications services.

     

          Provide internet access.

     

          However, such exemption does not apply to the retail sale of personal consumer electronics, including, but not limited to, smartphones, computers, and tablets, and consumer-grade modems and Wi-Fi routers.  The commissioner of revenue must reimburse counties and municipalities for loss of revenue resulting from such tax exemption.  Subject to appropriations, a sum must be earmarked and allocated from the general fund for this purpose.

     

          This bill removes the repeal date of June 30, 2025, for the provisions above.

     

          ON APRIL 22, 2025, THE SENATE ADOPTED AMENDMENT #1 AND PASSED SENATE BILL 925, AS AMENDED.

     

          AMENDMENT #1 sets the end date at June 30, 2027, for the exemption from sales and use tax for purchases and leases of equipment and infrastructure used to produce broadband communications services or provide internet access.

     

     

  • FiscalNote for HB1181/SB0925 filed under SB0925

  • House Floor and Committee Votes

    House moved to substitute and conform to SB0925

    SB0925 by Jackson - FLOOR VOTE: REGULAR CALENDAR PASSAGE ON THIRD CONSIDERATION 4/22/2025
    Passed
              Ayes...............................................95
              Noes................................................2

              Representatives voting aye were: Alexander, Atchley, Barrett, Baum, Boyd, Bricken, Brooks, Bulso, Burkhart, Butler, Camper, Capley, Carringer, Cepicky, Chism, Clemmons, Cochran, Crawford, Darby, Davis, Dixie, Doggett, Eldridge, Faison, Farmer, Freeman, Fritts, Gant, Garrett, Gillespie, Glynn, Grills, Hakeem, Hale, Hardaway, Harris, Haston, Hawk, Helton-Haynes, Hemmer, Hicks G, Hicks T, Hill, Howell, Hulsey, Hurt, Johnson, Jones J, Jones R, Keisling, Kumar, Lafferty, Lamberth, Leatherwood, Littleton, Love, Lynn, Maberry, Marsh, Martin B, Martin G, McCalmon, McKenzie, Miller, Mitchell, Moody, Moon, Parkinson, Powell, Powers, Raper, Reedy, Reeves, Reneau, Rudd, Rudder, Russell, Salinas, Scarbrough, Shaw, Sherrell, Slater, Sparks, Stevens, Stinnett, Terry, Todd, Towns, Vaughan, Vital, White, Williams, Wright, Zachary, Mr. Speaker Sexton -- 95.
              Representatives voting no were: Behn, Pearson -- 2.

              HB1181 by Hicks T - HOUSE CALENDAR & RULES COMMITTEE:
    H. Placed on Regular Calendar for 4/21/2025 4/17/2025
              Voice Vote - Ayes Prevail

    HB1181 by Hicks T - HOUSE FINANCE, WAYS, AND MEANS COMMITTEE:
    Rec. for pass. if am., ref. to Calendar & Rules Committee 4/17/2025
    Passed
              Ayes...............................................28
              Noes................................................0

              Representatives voting aye were: Baum, Boyd, Camper, Capley, Chism, Cochran, Crawford, Faison, Freeman, Garrett, Gillespie, Grills, Hale, Hawk, Hicks G, Hicks T, Hulsey, Lamberth, Love, Miller, Moody, Parkinson, Reeves, Shaw, Sparks, Vaughan, Williams, Zachary -- 28.

    HB1181 by Hicks T - HOUSE FINANCE, WAYS, AND MEANS COMMITTEE:
    Rec. for pass; ref to Calendar & Rules Committee 4/17/2025
    Passed
              Ayes...............................................27
              Noes................................................0

              Representatives voting aye were: Baum, Boyd, Camper, Capley, Chism, Cochran, Crawford, Faison, Freeman, Gillespie, Grills, Hale, Hawk, Hicks G, Hicks T, Hulsey, Lamberth, Love, Miller, Moody, Parkinson, Reeves, Shaw, Sparks, Vaughan, Williams, Zachary -- 27.

    HB1181 by Hicks T - HOUSE FINANCE, WAYS, AND MEANS SUBCOMMITTEE:
    Rec for pass if am by s/c ref. to Finance, Ways, and Means Committee 4/17/2025
    Passed
              Ayes...............................................11
              Noes................................................0

              Representatives voting aye were: Capley, Chism, Cochran, Crawford, Hicks G, Hicks T, Parkinson, Reeves, Shaw, Williams, Zachary -- 11.

    Senate Floor and Committee Votes

    SB0925 by Jackson - FLOOR VOTE: as Amended Third Consideration 4/22/2025
    Passed
              Ayes...............................................32
              Noes................................................0

              Senators voting aye were: Akbari, Bailey, Bowling, Briggs, Campbell, Crowe, Gardenhire, Haile, Harshbarger, Hatcher, Hensley, Jackson, Johnson, Kyle, Lamar, Lowe, Oliver, Pody, Powers, Reeves, Roberts, Rose, Seal, Southerland, Stevens, Taylor, Walley, Watson, White, Yager, Yarbro, Mr. Speaker McNally -- 32.

    SB0925 by Jackson - SENATE FINANCE, WAYS AND MEANS COMMITTEE:
    Recommended for passage with amendment/s, refer to Senate Calendar Committee Ayes 11, Nays 0 PNV 0 4/21/2025
    Passed
              Ayes...............................................11
              Noes................................................0

              Senators voting aye were: Haile, Hensley, Johnson, Lamar, Powers, Rose, Stevens, Walley, Watson, Yager, Yarbro -- 11.