Application software accessed over the Internet or through wireless media is not subject to Idaho sales and use tax because it is excluded from the definition of tangible personal property. “Application software accessed over the Internet or through wireless media” means the right to use computer software accessed over the Internet or through wireless media from a location owned or maintained by a seller or its agent and not loaded and left at the user’s location. Remotely accessed computer software is not exempt if the primary purpose of the software is for entertainment use or if the vendor of the software sells the same or comparable software in a storage media or by electronic download, either directly or through wholesale or retail channels. The pertinent bill’s statement of purpose notes that in today’s economy, services are typically provided to users by vendors using software offered over the Internet, or in the “cloud.” Application software developed by the service provider is owned or controlled by that provider, and the user is given limited access rights and no ability to modify or transfer the software. The use of this type of software does not involve a “transfer” in the traditional sense, is economically equivalent to a service, and is not subject to tax. (Ch. 271 (H.B. 243), Laws 2013, effective April 3, 2013; Statement of Purpose/Fiscal Note, Idaho House of Representatives)