Louisiana House Bill HB207

Louisiana 2015 Regular Session

• Introduced: 3/30/15
• Refer: 3/30/15
• Refer: 4/13/15
• Report Pass: 5/18/15
• Engrossed: 6/1/15
• Report Pass: 6/5/15
• Enrolled: 6/8/15
• Chaptered: 6/19/15
• Passed: 6/19/15

Caption

Specifies the types of bakery products exempt from state sales and use tax (EN DECREASE GF RV See Note)

Impact

The enactment of HB 207 would have a direct impact on the state's sales tax legislation, providing clarity regarding which bakery items are exempt from tax, thereby supporting local businesses that sell these goods. The adjustment is intended to facilitate an equitable tax environment for bakery products compared to other food items sold by restaurants or establishments with on-premises consumption. This change may also encourage consumer spending in local bakeries, potentially stimulating local economic growth.

Summary

House Bill 207, known as the Deauxnut Fairness Act, aims to provide a sales and use tax exemption specifically for bakery products sold for home consumption when purchased at grocery stores, bakeries, or donut shops. This amendment addresses the existing sales tax law, which previously did not exempt food sales by various establishments from state sales and use taxes. By explicitly stating that bakery items sold for home consumption are exempt, the bill seeks to lessen the financial burden on consumers buying these products.

Sentiment

General sentiment regarding HB 207 appears to be favorable among legislators representing the bakery industry and consumer rights advocates. The tax exemption has been viewed positively as a step toward supporting local food businesses and addressing the financial interests of consumers. This aligns with the broader legislative push to create a more favorable business environment while considering the needs of regular consumers.

Contention

While there seems to be a broad base of support for HB 207, possible contention could arise from perspectives focused on tax revenue. Opponents may argue that granting exemptions could reduce state revenue, leading to funding challenges for essential services. Additionally, there may be discussions around which specific bakery products are included in the exemption, creating complications for enforcement and compliance.