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Regular Session, 2014
HOUSE BILL NO. 1036
BY REPRESENTATIVES ARNOLD, ABRAMSON, CONNICK, HARRISON, AND
THIERRY
ALCOHOLIC BEVERAGES: Provides for the donation of alcoholic beverages to certain
organizations
AN ACT1
To amend and reenact R.S. 26:352 and 932(4) and (10) and to enact R.S. 26:793(A)(1)(a),2
(b), (c), and (d), relative to the donation of alcoholic beverages; to authorize the3
donation of alcoholic beverages to certain events and organizations; to provide for4
certain types of temporary alcoholic beverage permits; to provide for definitions; and5
to provide for related matters.6
Be it enacted by the Legislature of Louisiana:7
Section 1. R.S. 26:352 and 932(4) and (10) are hereby amended and reenacted and8
R.S. 26:793(A)(1)(a), (b), (c), and (d) are hereby enacted to read as follows: 9
§352. Donated beverages of high alcoholic content taxable10
When a Any person gives away or any dealer may donate alcoholic beverages11
of high alcoholic content for advertising or for any other purpose, the beverages shall12
be taxed to a licensed Type A special event or to an unlicensed civic, religious, or13
charitable organization subject to the fulfillment of any applicable excise taxes.14
* * *15
§793. Additional powers of the commissioner16
A.(1) The commissioner may provide by regulation for the issuance of three-17
day permits to serve alcoholic beverages at fairs, festivals, civic and fraternal and18
religious events, Mardi Gras events, and nonprofit functions. The permits shall be19
for a duration of three consecutive days only and no more than twelve such permits20
may be issued to any one person within a single calendar year. Fees for the permits21
shall be as provided by regulation.22 HLS 14RS-1792 REENGROSSED
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(a) There shall be three types of temporary alcoholic beverage permits: Type1
A, Type B, and Type C.2
(b) Type A permits shall be issued only to nonprofit organizations with tax3
exempt status under the United States Internal Revenue Code, Sections 501(c)(3),4
501(c)(6), and 501(c)(8), where no transactions exist, whether directly or indirectly,5
between the licensed tax exempt organizations and any disqualified person as6
defined by the United States Internal Revenue Code Section 4958(f). To qualify for7
this permit, applicants shall submit all documentation as required in the regulations8
promulgated in accordance with the provisions of this Section or upon the request9
of the commissioner.10
(c) Type B permits shall be issued only to nonprofit organizations, which are11
able to provide some type of written proof of their nonprofit status, but are unable12
to show written proof of their tax exempt status under the United States Internal13
Revenue Code, Sections 501(c)(3), 501(c)(6), or 501(c)(8). To qualify for this14
permit, applicants shall submit all documentation as required in the regulations15
promulgated in accordance with the provisions of this Section or upon the request16
of the commissioner.17
(d) Type C permits shall be issued to persons holding events where alcoholic18
beverages are sold or supplied as part of a general admission or other type fee, but19
who do not meet the requirements for Type A or Type B temporary permits. To20
qualify for this permit, applicants shall submit all documentation as required in the21
regulations promulgated in accordance with the provisions of this Section or upon22
the request of the commissioner.23
* * *24
§932. Definitions25
For purposes of this Chapter, the following terms have the respective26
meanings ascribed to them in this Chapter, unless a different meaning clearly appears27
from the context:28
* * *29 HLS 14RS-1792 REENGROSSED
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(4) "Responsible vendor" means any vendor as defined in Paragraph (9) (10)1
of this Section who qualifies and maintains certification in accordance with the2
provisions of this Chapter.3
* * *4
(10) "Vendor" means any holder of a Class "A" General, Class "A"5
Restaurant, or Class "B" retail permit issued pursuant to R.S. 26:71 or R.S. 26:2716
or any holder of Retail Dealer Registration Certificate or Retail Dealer Permit7
defined by R.S. 26:902. "Vendor" shall not include any holder of a Type A or Type8
B temporary alcoholic beverage permit issued pursuant to R.S. 26:793(A)(1).9
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Arnold HB No. 1036
Abstract: Authorizes the donation of alcoholic beverages for certain events and charitable
organizations and provides for the issuance of temporary permits.
Present law requires alcoholic beverages of high alcoholic content that are given away for
advertising or any other purpose to be taxed.
Proposed law authorizes any person or dealer to donate alcoholic beverages to a licensed
Type A special event or an unlicensed civic, religious, or charitable organization subject to
the fulfillment of any applicable excise taxes.
Present law authorizes the commissioner to issue by regulation temporary permits for a
duration of three consecutive days only and no more than 12 such permits issued to any one
person within a single calendar year to serve alcoholic beverages at fairs, festivals, civic and
fraternal and religious events, Mardi Gras events, and nonprofit functions, and requires fees
for the permits to be provided by regulation.
Proposed law retains present law and creates three types of temporary alcoholic beverage
permits.
Proposed law requires Type A permits to be issued only to nonprofit organizations with tax
exempt status under certain provisions of the U.S. Internal Revenue Code, where no
transactions exist, whether directly or indirectly, between the licensed tax exempt
organizations and any disqualified person as defined under the U.S. Internal Revenue Code,
and requires the applicants to submit all documentation as required in the regulations
promulgated in accordance with present law or upon the request of the commissioner of
alcohol and tobacco control.
Proposed law requires Type B permits to be issued only to nonprofit organizations which are
able to provide some type of written proof of their nonprofit status, but are unable to show
written proof of their tax exempt status under the U.S. Internal Revenue Code, and requires HLS 14RS-1792 REENGROSSED
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the applicants to submit all documentation as required in the regulations promulgated in
accordance with present law or upon the request of the commissioner.
Proposed law requires Type C permits to be issued to persons holding events where
alcoholic beverages are sold or supplied as part of a general admission or other type fee, but
who do not meet the requirements for Type A or Type B temporary permits, and requires the
applicants to submit all documentation as required in the regulations promulgated in
accordance with present law or upon the request of the commissioner.
Present law provides for the definition of "vendor".
Proposed law excludes any holder of a Type A or Type B temporary alcoholic beverage
permit issued pursuant to proposed law (R.S. 26:793)(A)(1).
(Amends R.S. 26:352 and 932(4) and (10); Adds R.S. 26:793(A)(1)(a), (b), (c), and (d))
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on Judiciary to the original bill.
1. Authorized nonprofit organizations with tax exempt status under the U.S.
Internal Revenue Code 501(c)(6) to be issued Type A and Type B permits.
2. Excluded holders of Type A and Type B temporary alcoholic beverage permits
from the definition of "vendor".