AR
Arkansas House Bill HB1469

Arkansas 2025 Regular Session

Arkansas House Bill HB1469

Introduced
2/13/25  
Refer
2/13/25  

Caption

To Create The Broadband Expansion And Efficiency Act; And To Create A Sales And Use Tax Exemption For Machinery And Equipment Used In Producing Broadband Communications Services.

Impact

The introduction of HB1469 is intended to stimulate the broadband sector by alleviating some of the financial burdens associated with the installation and maintenance of broadband services. The tax exemption will likely incentivize operators to upgrade existing infrastructure and expand services into underserved areas. With the state's increasing emphasis on digital connectivity, particularly in rural areas, this bill is positioned to play a crucial role in bridging the digital divide.

Summary

House Bill 1469, known as the Broadband Expansion and Efficiency Act, is designed to facilitate the growth and efficiency of broadband communications within Arkansas. The act includes provisions to exempt certain machinery and equipment used in the production of broadband communications services from state sales and use tax. This exemption aims to reduce costs for service providers, promoting investments in essential broadband infrastructure throughout the state. The bill specifies various types of machinery and equipment that qualify for this exemption, including fiber, cables, antennas, routers, and other telecommunications equipment.

Contention

While the bill has garnered support from various stakeholders in the telecommunications industry, there may be concerns regarding its fiscal implications for state revenue from taxes. Critics may argue that the tax exemptions could create budgetary challenges, particularly if the anticipated growth in broadband services does not generate the expected economic benefits. Furthermore, discussions on infrastructure sustainability and maintenance of service quality in newly expanded areas could arise as the bill progresses through the legislative process.

Companion Bills

No companion bills found.

Previously Filed As

AR SB256

To Include Machinery And Equipment Used In Research And Development In The Sales And Use Tax Exemption For Certain Machinery And Equipment Used In Manufacturing.

AR SB441

To Amend The Sales And Use Tax Laws Concerning Exemptions Related To Certain Machinery And Equipment; And To Allow A Sales And Use Tax Exemption For Certain Machinery And Equipment Placed In Inventory.

AR HB1506

To Create A Sales And Use Tax Exemption For Parts Purchased To Repair Agricultural Equipment And Machinery And Timber Equipment And Machinery.

AR HB1654

To Provide Sales And Use Tax Exemptions For Data Centers; And To Provide A Sales And Use Tax Exemption For Data Center Equipment, Data Center Costs, Certain Services Provided To A Data Center, And Electricity Used By A Data Center.

AR SB252

To Amend The Definitions Of “manufacturing” And “processing” For Purposes Of The Use-tax Exemption For Machinery And Equipment Used To Retread Tires To Match Their Definitions For Purposes Of The Sales-tax Exemption.

AR SB530

To Create A Sales And Use Tax Exemption For Certain Sales To A Cultivation Facility.

AR SB541

To Create A Sales And Use Tax Exemption For Certain Items And Services Sold To A Cemetery.

AR SB449

To Create The Arkansas Broadband Advisory Council; And To Declare An Emergency.

AR HB1490

To Create A Sales And Use Tax Exemption For The Arkansas Museum Of Fine Arts.

AR HB1346

To Create A Sales And Use Tax Exemption For The Purchase Of A Business Vehicle By A Food Pantry; And To Create A One-time Rebate Of State Sales And Use Tax For The Purchase Of A Business Vehicle In 2022 By A Food Pantry.

Similar Bills

LA SB10

Provides relative to rural broadband high-speed internet access.

NJ S1982

Establishes office in EDA to assist in provision and expansion of broadband Internet service in State to address inequities in accessing broadband service.

NJ S2213

Establishes office in EDA to assist in provision and expansion of broadband Internet service in State to address inequities in accessing broadband service.

NJ A1398

Establishes office in EDA to assist in provision and expansion of broadband Internet service in State to address inequities in accessing broadband service.

NJ A3280

Establishes office in EDA to assist in provision and expansion of broadband Internet service in State to address inequities in accessing broadband service.

CA AB41

Broadband infrastructure deployment.

CA SB717

Department of Technology: broadband communications: report.

CA AB965

Local government: broadband permit applications.