LATA Legislative Update

2007 Regular Session
Act 209	HB 240	Provides for a sales and use tax exemption for certain trucks and trailers.
Act 430	HB 241	Provides relative to an exclusion from state sales and use taxes for food purchases made by certain nonpublic schools.
Act 298	HB 359	Provides relative to tax exemptions and credits in cultural product districts.
Act 400	HB 372	Provides for a refundable enterprise zone income tax investment tax credit.
Act 480	HB 386	Provides for an exclusion from state and local sales and use taxes for newspapers.
Act 439	HB 464	Provides for the effectiveness of the sales and use tax exemptions for utilities purchased by steelworks, blast furnaces, coke ovens, and rolling mills.
Act 419	HB 916	Provides for a state and local sales and use tax exclusion for leases or rentals by manufacturers of pallets which are used in packaging products produced by the manufacturer.
Act 457	HB 944	Provides for a state sales and use tax exemption for certain water conservation equipment in the Sparta Groundwater Conservation District.
Act 245	SB 26	Expands the option given to political subdivisions to grant farm machinery and equipment an immediate or phased-in tax exclusion which includes granting an exclusion for any other machinery, equipment, supplies, materials or services for farming.
Act 271	SB 250	Authorizes a business to receive a $2,500 enterprise zone credit if 35% of its employees are residents of any enterprise zone, not just an enterprise zone within the parish of its location or a contiguous parish.
Act 173	SB 272	Excludes from tax the use, lease, or rental of, and the repair of drilling rigs and their component parts if drilling rig's usual or ultimate use is for the exploration or development of minerals in OCS waters.
Act 471	SB 331	Excludes from state sales tax natural gas and electricity purchased by paper or wood products manufacturing facilities.
Occupational License Tax
Act 426	HB 123	Provides for an exclusion for gasoline sales from the definition of gross sales as it applies to the occupational license tax.
Ad Valorem Tax
Act 486	HB 260	Constitutional amendment which excludes consigned jewelry from ad valorem taxation.
Act 195	HB 578	Provides relative to tax sales of certain indivisible property.
2006 1^st Special Session
Act Number	Bill Number	Description
Act 34	HB 60	Clarifies that the sales tax exemption for ships’ supplies purchased for ships or vessels operating exclusively in foreign or interstate coastwise commerce provided under R.S. 47:305.1 is also applicable to barges and drilling ships that are operating exclusively in foreign or interstate commerce This clarification was made because of the decision in Mallard Bay Drilling, Inc. v. Kennedy, 914 So. 2d 533. Effective February 23, 2006.
2006 Regular Session
Act 291	HB 958	Specifies procedure for resolution of boundary disputes between local taxing authorities for purposes of collection of motor vehicle sales tax. Effective 8-15-06.
Act 411	HB 1003	Exempts prescription drugs purchased pursuant to Medicare Part D Plans. Effective 7- 1-06.
Act 608	SB 546	Eliminates the local sales tax on Medicare Part B and D prescriptions. Effective 7- 1-06
Act 765	HB 594	Provides relative to component parts of immovable property. Effective 6-29-06.
2005 Special Session
Act Number	Bill Number	Description
	HCR 54	Urges and requests local governing authorities to provide that the local sales and use tax shall not apply to certain consumer purchases on the same dates as the tax holiday established by state law. Enrolled
HOTEL-MOTEL OCCUPANCY TAX LEGISLATION
Act 60	HB 115	Removes the exemption of certain rooms from the hotel occupancy tax in certain parishes. Effective 12-6-05.
STATE ONLY LEGISLATION
Act 47	HB 39	Exempts manufacturing machinery and equipment purchases to replace certain hurricane-damaged equipment from state sales and use taxes. Effective 12-6-05.
Act 48	HB 40	Caps the state sales tax on natural gas and electricity costs to certain industries. Effective 1-1-06.
Act 9	HB 42	Provides that the state sales tax shall not apply to consumer purchases of tangible personal property for non-business use on a certain date. Effective 11-28-05
2005 Regular Session
Act Number	Bill Number	Description
Act 397	HB 78	Exempts repairs of rail rolling stock from state tax and includes a local option provision. Also provides a state and local exemption for rail rolling stock sold or leased in Louisiana. Effective 7- 1-05.
Act 410	HB 90	Provides a state and local tax exclusion for specialty items sold to members for fund-raising purposes by nonprofit carnival organizations domiciled in Louisiana and participating in parades sponsored by a carnival organization. Effective 8-15-05.
Act 471	HB 128	Defines manufacturer, for state sales tax, to include certain agricultural activities for purposes of the manufacturing machinery and equipment exclusion. Also defines machinery and equipment includes machinery and equipment used to generate electric power for self consumption or co-generation. Includes a local option provision. Effective 7-12-05.
Act 352	HB 131	Repeals exemption for materials used in construction of the Toledo Bend Dam project. Effective 6-30-05.
Act 413	HB 132	Repeals exemption types of mobile, motorized equipment that is used for sales promotion. Effective 7-11-05.
Act 362	HB 301	Provides a state and local sales tax exclusion for cranes and related equipment leased or rented with an operator. Also provides that cranes leased or rented with an operated are tax upon first use in Louisiana. Effective 7- 1-05.
Act 243	HB 513	Repeals restriction on the exclusion from state sales and use tax for certain radio broadcast equipment which limited the exclusion to purchases mandated by the Federal Communications Commission. Includes a local option provision. Effective 6-29-05.
Act 443	HB 655	Provides an extension up to 2 years to meet certain employment requirements relative to enterprise zone rebates. Also under certain conditions the new job requirement may be created by a public institution of higher education. Effective 7-11-05.
Act 457	HB 741	Amends 47:305.10(F) to eliminate the conflict with 47:305(I) which provides a state and local sales tax exemption for repairs to drilling equipment use offshore. Also provides a state and local exclusion for textbooks and course- related software purchased by certain private post-secondary institutions. Effective 7-11-05.
Act 458	HB 747	Amends the sales price of refinery gas sold to another person. The sales price of refinery gas is now the same as the cost price for use tax purposes. Also provides that sales of other petroleum byproducts, except feedstock, are now treated the same as other sales of tangible personal property. 7-11-05 Effective.
Act 393	HB 832	Excludes purchases by certain nonprofit entities from state sales and use tax. Does not apply to local sales tax. 7- 1-05 Effective.
Act 394	HB 867	Provides a credit against the Louisiana state and local use tax for the rate of sales and use tax paid on motor vehicles purchased and titled in another state. Effective 7- 1-05.
Act 278	SB 27	Provides a state and local sales taxes exemption for nonprofit organizations conducting programs on sickle cell disease. Effective 7- 1-05.
Act 293	SB 131	Provides a state and local sales taxes exclusion for non-profit organizations that donate toys to children. Effective 7- 1-05.
Act 126	SB 173	Revises the formula for payment of sales tax by interstate and foreign commerce transportation dealers. Excludes from “taxing jurisdiction’s mileage” mileage in the taxing jurisdiction that is a part of a stream of movement of property between a point in Louisiana and a point offshore beyond the territorial limits of any state. Effective 6-22-05.
Act 301	SB 196	Amends Civil Code Article 466 relative to components parts of an immovable. Includes the concept of “societal expectation” that was used prior to the Willis-Knighton vs Caddo Shreveport decision. Effective 6-29-05.
Act 344	SB 336	Exempts the sale of VEGF inhibitors (drugs used to treat macular degeneration) from the sales tax of any political subdivision in any parish with a population between 230,000 and 300,000 (Caddo Parish). Effective 7- 1-06.
OCCUPATIONAL LICENSE TAX LEGISLATION
Act 94	HB 601	Provides that a license pharmacy generating 80% of its gross revenues from prescription drugs shall be based on one-tenth of one percent of the gross annual sales with a minimum tax of $50 and a maximum tax of $2,000. Effective 7- 1-05.
2004 Special Session
Act Number	Bill Number	Description
Act 1	HB-2	Exempts certain machinery and equipment from the state sales and use tax. Political Subdivisions may provide for a sales and use tax exclusion as provided for in RS 47:301(3)(i), (13)(k), or (28). Effective 6-30-05
Act 5	HB-8	Extends the effectiveness of the sales and use tax exemption for purchases of utilities by certain steelworks and blast furnaces. Effective 7-1-07
Act 14	SB-15	Extends the duration of the tax-free shopping district. Effective 3-25-04
2004 Regular Session
Act 691	SB-394	Provides that diesel fuel be defined as a motor fuel. Effective 7-6-04
Act 683	SB-801	Authorizes the political subdivisions to renew or continue any sales tax for any purpose set forth in the renewal and provides that the renewal may exceed the constitutional or statutory limit on tax rates. Effective 7-5-04
Act 469	SB-825	Creates Uniform Local Sales Tax Administrative Procedure Act required by the UTC for the adoption of uniform regulations for sales tax law or its administration that is applicable only to locals and which is not a sales tax law applicable to state/locals. Effective 7-1-04
2003 Regular Session
Act Number	Bill Number	Description
Act 46	HB-1750	Provides for the taxable nature of cellular and PCS telephones, or other wireless PCS devices or electronic accessories physically connected with such telephones used in connection with the sale or use of mobile telecommunications services.
Act 61	SB-791	Provides that tangible personal shall not include other constructions permanently attached to the ground for local tax purposes.
Act 73	SB-551	Enacts the Uniform Local Sales Tax Code (the UTC) by gathering various provisions applicable to local sales and use taxes and requires local sales tax to be administered and collected in conformity with such provisions.
Act 141	HB-1621	Provides for direct payment numbers for private non-profit, tax-exempt organizations. It also extends until June 30, 2005, the sales tax exclusion on educational materials purchased.
Act 1146	SB-340	Requires political subdivisions to provide the vehicle commissioner with information concerning their boundaries for purposes of vehicle tax collection.
2002 Special Session
Act Number	Bill Number	Description
Act 3	HB-104	Provides a sales and use tax exclusion for capital expenditures by biotechnology companies.
Act 7	HB-30	Provides an exclusion from the state sales and use tax for certain computer software. This exemption is optional for local sales and use tax.
Act 98	HB-127	Provides sales tax filing requirements for the state and its departments, agencies, boards and commissions.
2002 Regular Session
Act 2	HB-40	Extends the exemption for certain buses, trucks, and trailers used in interstate commerce.
Act 4	HB-54	Extends the state and local sales and use tax exemptions for boiler fuel.
Act 6	HB-73	Authorizes local taxing agencies to adopt an ordinance exempting farm equipment from local sales and use tax.
Act 27	SB-11	Provides an exemption from state and local sales and use tax for non-profit literacy organizations.
Act 31	SB-39	Provides an exemption from state and local sales and use tax for repairs on drilling rigs and equipment used offshore.
Act 37	SB-57	Local taxing agencies are authorized to adopt an exemption for the sales, administration, or procurement of certain prescription drugs.
Act 40	SB-62	Defines “foreign or interstate coastwise commerce” with respect to the exemption provided owners and operators of ships or vessels operating in such commerce.
Act 41	SB-70	Provides an exemption from state and local sales and use tax for ships and ship supplies.
Act 42	SB-71	Provides an exemption from local sales and use tax for cancer and related chemotherapy prescription drugs.
Act 49	HB-26	Extends the exemption for purchases of utilities used by certain steelworks and blast furnaces.
Act 56	HB-82	Excludes certain transactions relating to manufactured homes from local sales and use tax. This exclusion is phased in over four years, beginning January 1, 2003.
Act 61	HB-124	Excludes digital television and digital radio conversion equipment from state sales and use tax. Authorizes local taxing agencies to adopt an ordinance excluding this equipment.
Act 64	HB-135	Extends the time limitations for the exclusion of motor vehicles purchased for lease.
Act 67	HB-158	Provides an exclusion from state and local sales and use tax for certain costs of publishing businesses.
Act 70	HB-205	Excludes from state and local sales and use tax purchases by non-profit blood banks and blood collection centers.
Act 71	HB-207	Excludes from state and local sales and use tax apheresis kits and leuko reduction filters used by non-profit blood banks and blood collection centers.
Act 72	HB-225	Provides credit for dentists who practice in underserved areas.
Act 85	SB-86	Provides a sales and use tax exclusion for certain tangible personal property sold by a dealer in connection with the sale or use of mobile telecommunication services. NOTE: On July 24, 2002, a State District Court Judge issued a preliminary injunction regarding this sales and use tax exclusion. As a result, this exclusion is not in effect until the courts issue a final decision.