Grants a state tax exemption for water, mineral water, carbonated water, and flavored water sold in bottles, jugs, or containers for home consumption. (10/1/11) (EN -$8,300,000 GF RV See Note)
Impact
The legislative discussions surrounding SB 21 suggest a favorable outlook among many lawmakers, particularly those concerned with consumer affordability and access to essential goods. Supporters argue that this exemption will ease financial pressures on families, particularly in times of economic difficulty. However, it is important to consider that while the bill provides immediate relief to consumers, it also represents a potential reduction in state revenue, prompting concerns regarding long-term fiscal sustainability and the effect on funding for public services.
Summary
Senate Bill 21 aims to amend and reenact certain provisions of Louisiana's sales and use tax laws by providing a tax exemption specifically for water, mineral water, carbonated water, and flavored water sold in bottles, jugs, or containers intended for home consumption. This exemption is designed to alleviate the tax burden on households purchasing these essential consumables, thus promoting greater affordability for residents. The bill is set to take effect on October 1, 2011, and is anticipated to have a fiscal impact estimated at a reduction of $8.3 million from the general fund.
Sentiment
Overall, the sentiment surrounding SB 21 appears to be predominantly supportive, with significant backing from legislators who emphasize the necessity of access to affordable water products. Advocates for the bill have highlighted its potential to positively impact lower-income families, while critics emphasize the implications of lost tax revenue for state programs. The discussions reflect a balance between promoting public welfare through accessibility to basic resources and maintaining state fiscal health.
Contention
Despite the general support for SB 21, there is some contention regarding the fiscal implications it entails. While the exemption is aimed at benefiting consumers financially, detractors have raised valid concerns about the subsequent loss in sales tax revenue which could affect funding for essential services within the state. This creates a dialogue among lawmakers about the responsibilities of government to balance the needs of constituents against the fiscal realities of governing.
Provides a state sales and use tax exemption for water for residential use that is not separately metered. (Item #23) (7/1/18) (OR DECREASE GF RV See Note)
Allows the occupant of a watercraft traveling on state waters and engaged in any lawful activity to remain on those waters unless forbidden to do so by the owner. (8/1/20)