Form St-121.5 - Exempt Use Certificate For Operators Of Internet Data Centers (Web Hosting) Page 2
Download a blank fillable Form St-121.5 - Exempt Use Certificate For Operators Of Internet Data Centers (Web Hosting) in PDF format just by clicking the "DOWNLOAD PDF" button.
Open the file in any PDF-viewing software. Adobe Reader or any alternative for Windows or MacOS are required to access and complete fillable content.
Complete Form St-121.5 - Exempt Use Certificate For Operators Of Internet Data Centers (Web Hosting) with your personal data - all interactive fields are highlighted in places where you should type, access drop-down lists or select multiple-choice options.
Some fillable PDF-files have the option of saving the completed form that contains your own data for later use or sending it out straight away.
ADVERTISEMENT
1
2ST-121.5 (7/11) (back)
Instructions
An operator of an Internet data center may use Form ST-121.5 to
subsequent purchases, and will remain in effect until the percentage
purchase tangible personal property or services exempt from tax to
changes again.
the extent they are used in the operation of an Internet data center
If you cannot, in good faith, determine the exempt percentage, you
located in this state. An operator of an Internet data center is a person
must pay tax at the time of purchase and request a refund. If you
that (i) provides Internet Web site services for sale and (ii) provides
estimate too high a percentage as exempt, you must pay tax on the
at this center the Internet Web site services of uninterrupted Internet
portion that turns out to be taxable.
access to customers’ Web pages (twenty-four hours a day, seven days
a week, three hundred sixty-five days a year) and continuous
To the seller
management of Internet traffic for the customers’ Web pages. An
The purchaser must give you an exemption certificate with all required
operator of an Internet data center that is primarily engaged at the data
entries completed no later than 90 days after delivery of the property
center in the retail sale of its own Internet access service (as defined
or service sold, or the sale will be deemed to have been taxable at
in section 1115(v) of the Tax Law) is not considered to be providing
the time of the transaction. If you receive a certificate after the 90-day
Internet Web site services for sale. Therefore, purchases by such an
period, both you and the purchaser assume the burden of proving the
operator do not qualify for exemption from tax. Primarily engaged
sale was exempt. Additional substantiation may be required.
means that more than 50% of the use of all the property in an Internet
data center that would otherwise be exempt from tax as Internet data
In addition, if you fail to collect tax as a result of accepting an
center property, is used for providing an Internet access service.
improperly completed exemption certificate, you become personally
liable for the tax plus any penalty and interest charges due, unless
Complete all required entries on the front of the form and give it to the
the certificate is corrected within a reasonable period of time. You
seller.
must keep this exemption certificate for at least three years after the
You may use Form ST-121.5 as a blanket certificate covering the first
due date of the last return to which it relates, or the date the return
and subsequent purchases of the same general type of property or
was filed, if later. You must also maintain a method of associating
service. However, each subsequent sales slip or purchase invoice
an exempt sale made to a particular customer with the exemption
based on this blanket certificate must show the purchaser’s name and
certificate you have on file for that customer.
address.
Misuse of this certificate
Note: Contractors may purchase qualifying tangible personal
property for use in an Internet data center exempt from tax only
Misuse of this exemption certificate may subject you to serious civil
when the property is to be incorporated into the real property of the
and criminal sanctions in addition to the payment of any tax and
Internet data center as a capital improvement. They may also make
interest due. These include:
tax-exempt purchases of services to install, maintain, service, or repair
• A penalty equal to 100% of the tax due;
tangible personal property used for Web hosting. See Form ST-120.1,
• A $50 penalty for each fraudulent exemption certificate issued;
Contractor Exempt Purchase Certificate.
• Criminal felony prosecution, punishable by a substantial fine and a
Part 1 — Exemptions for tangible personal property
possible jail sentence; and
You may purchase, exempt from tax, machinery, equipment, and other
• Revocation of your Certificate of Authority, if you are required to be
tangible personal property for use in the operation of the Internet data
registered as a vendor.
center. The tangible personal property that is covered by this
See TSB-M-09(17)S, Amendments that Encourage Compliance with
exemption includes the following:
the Tax Law and Enhance the Tax Department’s Enforcement Ability,
• computer system hardware, such as servers and routers;
for more information.
• pre-written computer software;
Privacy notification
• storage racks and cages for computer equipment;
The Commissioner of Taxation and Finance may collect and maintain personal
• property related to building systems designed for an Internet data
information pursuant to the New York State Tax Law, including but not limited to,
center, such as interior fiber optic and copper cables;
sections 5-a, 171, 171-a, 287, 308, 429, 475, 505, 697, 1096, 1142, and 1415
• property necessary to maintain the appropriate climate-controlled
of that Law; and may require disclosure of social security numbers pursuant to
42 USC 405(c)(2)(C)(i).
environment, such as air-filtration equipment, air-conditioning
equipment, and vapor barriers;
This information will be used to determine and administer tax liabilities and,
when authorized by law, for certain tax offset and exchange of tax information
• property related to fire control, such as fire-suppression equipment
programs as well as for any other lawful purpose.
and alarms;
Information concerning quarterly wages paid to employees is provided to
• power generators and power conditioners;
certain state agencies for purposes of fraud prevention, support enforcement,
• property related to providing a secure environment, such as
evaluation of the effectiveness of certain employment and training programs and
protective barriers;
other purposes authorized by law.
• property that constitutes raised flooring when installed; and
Failure to provide the required information may subject you to civil or criminal
penalties, or both, under the Tax Law.
• other similar property.
This information is maintained by the Manager of Document Management,
Part 2 — Exemptions for services to Internet data center
NYS Tax Department, W A Harriman Campus, Albany NY 12227;
telephone (518) 457-5181.
property
Certain services rendered directly to or in relation to Internet data
Need help?
center property are exempt from tax. If any of these services relate to
property that is both taxable and exempt from tax, an allocation may be
used to determine the portion of the total receipt that is exempt from
Internet access:
tax. An allocation based on square footage is acceptable to the Tax
(for information, forms, and publications)
Department. However, an alternative allocation method may be chosen
by the purchaser of the services, provided the method is reasonable.
Allocations that are based on time or property values are examples of
Sales Tax Information Center:
(518) 485-2889
reasonable allocation methods.
To order forms and publications:
(518) 457-5431
The services shown on lines A, B, and C may be purchased exempt
only up to the percentage indicated on this certificate by the purchaser.
Text Telephone (TTY) Hotline
When this certificate is used as a blanket certificate, the percentage(s)
(for persons with hearing and
used should be reviewed periodically. If any percentage changes, a
speech disabilities using a TTY):
(518) 485-5082
new blanket certificate must be issued. The new certificate will cover
ADVERTISEMENT
0 votes
Related Articles
Related forms
Form St-121.5 - Exempt Use Certificate For Operators Of Internet Data Centers (web Hosting)
Financial
Form St-121.3 - Exempt Use Certificate For Computer System Hardware - New York State And Local Sales And Use Tax
Financial
Form St-121.9 - Exempt Purchase Certificate For Certain Property And Services Used In Dramatic And Musical Arts Performances
Financial
Form St-121.9 - Exempt Purchase Certificate For Certain Property And Services Used In Dramatic And Musical Arts Performances
Financial
Form St-119.5 - Exempt Organization Certificate For Hotel Or Motel Occupancy By Representatives Of Veterans' Organizations
Financial
Form St-119.5 - Exempt Organization Certificate For Hotel Or Motel Occupancy By Representatives Of Veterans' Organizations
Financial
Form St-119.5 - Exempt Organization Certificate For Hotel Or Motel Occupancy By Representatives Of Veterans' Organizations - New York
Financial
Related Categories
Parent category: Financial