
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC4252]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                 Subtitle D--Miscellaneous Excise Taxes
 
                   CHAPTER 33--FACILITIES AND SERVICES
 
                      Subchapter B--Communications
 
Sec. 4252. Definitions


(a) Local telephone service

    For purposes of this subchapter, the term ``local telephone 
service'' means--
        (1) the access to a local telephone system, and the privilege of 
    telephonic quality communication with substantially all persons 
    having telephone or radio telephone stations constituting a part of 
    such local telephone system, and
        (2) any facility or service provided in connection with a 
    service described in paragraph (1).

The term ``local telephone service'' does not include any service which 
is a ``toll telephone service'' or a ``private communication service'' 
as defined in subsections (b) and (d).

(b) Toll telephone service

    For purposes of this subchapter, the term ``toll telephone service'' 
means--
        (1) a telephonic quality communication for which (A) there is a 
    toll charge which varies in amount with the distance and elapsed 
    transmission time of each individual communication and (B) the 
    charge is paid within the United States, and
        (2) a service which entitles the subscriber, upon payment of a 
    periodic charge (determined as a flat amount or upon the basis of 
    total elapsed transmission time), to the privilege of an unlimited 
    number of telephonic communications to or from all or a substantial 
    portion of the persons having telephone or radio telephone stations 
    in a specified area which is outside the local telephone system area 
    in which the station provided with this service is located.

(c) Teletypewriter exchange service

    For purposes of this subchapter, the term ``teletypewriter exchange 
service'' means the access from a teletypewriter or other data station 
to the teletypewriter exchange system of which such station is a part, 
and the privilege of intercommunication by such station with 
substantially all persons having teletypewriter or other data stations 
constituting a part of the same teletypewriter exchange system, to which 
the subscriber is entitled upon payment of a charge or charges (whether 
such charge or charges are determined as a flat periodic amount, on the 
basis of distance and elapsed transmission time, or in some other 
manner). The term ``teletypewriter exchange service'' does not include 
any service which is ``local telephone service'' as defined in 
subsection (a).

(d) Private communication service

    For purposes of this subchapter, the term ``private communication 
service'' means--
        (1) the communication service furnished to a subscriber which 
    entitles the subscriber--
            (A) to exclusive or priority use of any communication 
        channel or groups of channels, or
            (B) to the use of an intercommunication system for the 
        subscriber's stations,

    regardless of whether such channel, groups of channels, or 
    intercommunication system may be connected through switching with a 
    service described in subsection (a), (b), or (c),
        (2) switching capacity, extension lines and stations, or other 
    associated services which are provided in connection with, and are 
    necessary or unique to the use of, channels or systems described in 
    paragraph (1), and
        (3) the channel mileage which connects a telephone station 
    located outside a local telephone system area with a central office 
    in such local telephone system,

except that such term does not include any communication service unless 
a separate charge is made for such service.

(Aug. 16, 1954, ch. 736, 68A Stat. 503; Pub. L. 85-859, title I, 
Sec. 133(a), Sept. 2, 1958, 72 Stat. 1290; Pub. L. 87-508, Sec. 4(a), 
June 28, 1962, 76 Stat. 115; Pub. L. 89-44, title III, Sec. 302, June 
21, 1965, 79 Stat. 145.)

                                 Repeal

        This subchapter, relating to the tax on communications was 
    repealed by Pub. L. 90-364, title I, Sec. 105(b)(3), June 28, 1968, 
    82 Stat. 266, as amended by Pub. L. 91-172, title VII, 
    Sec. 702(b)(3), Dec. 30, 1969, 83 Stat. 660; Pub. L. 91-614, title 
    II, Sec. 201(b)(3), Dec. 31, 1970, 84 Stat. 1843, effective with 
    respect to amounts paid pursuant to bills first rendered on or after 
    Jan. 1, 1982. In the case of communications services rendered before 
    Nov. 1, 1981, for which a bill has not been rendered before Jan. 1, 
    1982, a bill shall be treated as having been first rendered on Dec. 
    31, 1981. Repeal of this subchapter was not executed in view of the 
    amendments to section 4251 of this title by Pub. L. 96-499, Pub. L. 
    97-34, Pub. L. 97-248, Pub. L. 98-369, Pub. L. 99-514, Pub. L. 100-
    203, and Pub. L. 101-508, extending the date in (and finally 
    eliminating) provisions which had reduced the tax to zero after a 
    specified date.


                               Amendments

    1965--Subsec. (a). Pub. L. 89-44 substituted definition of ``local 
telephone service'' for definition of ``general telephone service''.
    Subsec. (b). Pub. L. 89-44 replaced definition of ``toll telephone 
service'' as telephone or radio telephone message or conversation for 
which there is a toll charge paid within the United States with a 
definition which defined the term as a telephonic quality communication 
carrying a varying toll charge depending upon distance and elapsed 
transmission time and a service entitling the subscriber, upon payment 
of a periodic charge, to unlimited telephonic communication in an area 
outside the local telephone system area.
    Subsec. (c). Pub. L. 89-44 substituted definition of 
``teletypewriter exchange service'' for definition of ``telegraph 
service''.
    Subsec. (d). Pub. L. 89-44 substituted definition of ``private 
communication service'' for definition of ``teletypewriter exchange 
service''.
    Subsecs. (e), (f). Pub. L. 89-44 struck out subsecs. (e) and (f) 
which defined wire mileage service and wire and equipment service.
    1962--Subsec. (e)(1), (2). Pub. L. 87-508 limited wire mileage 
service to service not used in the conduct of a trade or business.
    1958--Subsec. (a). Pub. L. 85-859 substituted definition of 
``general telephone service'' for provisions which defined ``local 
telephone service'' as any telephone service not taxable as long 
distance telephone service; leased wire; teletypewriter or talking 
circuit special service; or wire and equipment service, and provided 
that amounts paid for the installation of instruments, wires, poles, 
switchboards, apparatus, and equipment shall not be considered amounts 
paid for service, and that amounts paid for services and facilities 
which are exempted from other communication taxes by section 4253(b) 
should not be deemed to be within the definition of local telephone 
service.
    Subsec. (b). Pub. L. 85-859 substituted ``toll telephone service'' 
for ``long distance telephone service'' and struck out provisions which 
defined ``long distance telephone service'' as a telephone or radio 
telephone message or conversation for which the toll charge is more than 
24 cents.
    Subsec. (c). Pub. L. 85-859 substituted ``For purposes of this 
subchapter, the term `telegraph service' means a telegram'' for ``As 
used in section 4251 the term `telegraph service' means a telegraph''.
    Subsec. (d). Pub. L. 85-859 substituted provisions defining 
``teletypewriter exchange service'' for provisions which defined 
``leased wire, teletypewriter or talking circuit special service''.
    Subsec. (e). Pub. L. 85-859 substituted provisions defining ``wire 
mileage service'' for provisions which defined ``wire and equipment 
service'', which were covered by subsec. (f) of this section.
    Subsec. (f). Pub. L. 85-859 added subsec. (f). Similar provisions 
were formerly contained in subsec. (e) of this section.


                    Effective Date of 1965 Amendment

    Amendment by Pub. L. 89-44 applicable to amounts paid pursuant to 
bills rendered on or after January 1, 1966, for services rendered on or 
after such date but, in the case of amounts paid pursuant to bills 
rendered after January 1, 1966, for services rendered before such date 
for which no previous bill had been rendered, applicable except with 
respect to such services as were rendered more than two months before 
such date, see section 701(b)(2)(A) of Pub. L. 89-44, set out as a note 
under section 4251 of this title.


                    Effective Date of 1962 Amendment

    Section 4(c) of Pub. L. 87-508 provided that: ``The amendments made 
by subsections (a) and (b) [amending this section and section 4253 of 
this title] shall apply with respect to services furnished on or after 
January 1, 1963.''


                    Effective Date of 1958 Amendment

    For effective date of amendment made by Pub. L. 85-859, see section 
133(b) of Pub. L. 85-859, set out as a note under section 4251 of this 
title.

                  Section Referred to in Other Sections

    This section is referred to in section 4253 of this title.
