In Revenue Ruling 2021-001, the Alabama Department of Revenue ruled that IT services provided by a foreign company with no physical presence in Alabama are not subject to sales tax. The foreign company provided an information technology system remotely to an Alabama production plant. Although the company provided these services remotely, it would also provide additional services, such as hot line support and training handouts, and would have in-person representatives at the Alabama plant every six months. The Ruling concluded that these additional services, where separately stated from any software, were nontaxable services rather than a transfer of computer software “akin to an optional software maintenance agreement.” Additionally, any incidental transfer of tangible personal property, such as the handouts, would not make the services subject to tax. Therefore, the foreign company was not liable for sales tax, so long as the nontaxable services were separately stated on the invoice and did not involve the transfer of computer software.