GREEN SHEET REDIGEST
HB 39 2016 First Extraordinary Session Stokes
(KEYWORD, SUMMARY, AND DIGEST as amended by Senate committee
amendments)
TAX/EXCISE: Levies an automobile rental tax (Item #25)
DIGEST
Present law for the period from August 1, 1990, through June 30, 2012, levied a 2.5% state
and .5% local automobile rental tax on the proceeds derived from an automobile rental
contract. This tax was in addition to any other tax, fee, or license.
Proposed law removes the June 30, 2012, date and reinstates the state and local taxes on
automobile rentals.
The statutory provisions which prohibited the state and local tax which being levied on the
following are retained by removal of the June 30, 2012, date:
(1)Rentals by an insurance company as a replacement vehicle for a policyholder.
(2)Rentals by an automobile dealer while a customer's vehicle is being serviced or
repaired.
(3)Rentals by an individual while the individual's vehicle is being serviced or repaired.
Proposed law makes effective provisions requiring that the tax collections be remitted to the
secretary of the Dept. of Revenue (DOR) and requires the secretary of DOR to distribute
local sales tax collected and remitted to the corresponding local sales tax collector or
governing authority.
Under the provisions which terminated on June 30, 2012, the local tax collected in Jefferson
Parish was distributed in equal shares as follows:
(1)One-third to the city of Kenner for arts and recreation.
(2)Two-thirds of the tax to be distributed to the Jefferson Performing Arts Society for
programs on the east and west bank and one-third of that amount to be distributed to
the Westwego Performing Arts Center.
Proposed law distributes the tax collected in Jefferson Parish as follows:
(1)One-third to the city of Kenner for arts and recreation.
(2)One-third to be distributed to the city of Westwego for promotion of the Westwego
Performing Arts Center, including events and programs.
(3)One-third to be distributed in equal shares to the following:
(a)Capital improvements and maintenance of Lafrienere Park.
(b)Maintenance and litter abatement of the Westbank Expressway
unincorporated Jefferson Parish.
(c)Maintenance, operation, and promotion of events at the Jefferson Parish Arts
Center.
Proposed law requires the local tax collected in Orleans Parish to be distributed to the New
Orleans Council on Aging beginning April 1, 2016, through Dec. 31, 2016, and thereafter,
requires distribution for road repairs and beautification projects.
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Prepared by James Benton. Proposed law requires that local tax collected in Bossier Parish be distributed to the Bossier
Parish Council on Aging.
Proposed law requires that local tax collected in Caddo Parish be distributed as follows:
(1)80% of the tax shall be distributed to Louisiana State University and Agricultural and
Mechanical College Medical School at Shreveport.
(2)20% of the tax shall be distributed to the Caddo Parish Council on Aging.
Proposed law provides that local tax collected in Calcasieu Parish shall be distributed to
Airport District #1 of Calcasieu Parish for the maintenance and operation of the Lake Charles
Regional Airport.
Proposed law provides that local tax collected in East Baton Parish shall be distributed as
follows:
(1)20% to the East Baton Rouge Council on Aging.
(2)20% to Capital Area Human Services.
(3)20% to the Arts Council of Greater Baton Rouge for its operations and programs.
(4)The remainder shall be distributed in accordance with proposed law.
Effective April 1, 2016.
(Amends R.S. 47:551)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Ways and Means
to the original bill:
1. Changes the distribution for the local taxes collected in Jefferson Parish from
2/3 distributed to the Jefferson Parish Performing Arts Society for programs
on the east and west bank, with 1/3 of that amount going to the Westwego
Performing Arts Center, to 1/3 of the amount going to the city of Westwego
for promotion of the Westwego Performing Arts Center, and 1/3 of the
amount going to the Jefferson Convention and Visitors Bureau solely for
promotion of events staged at the Jefferson Performing Arts Center.
2. Requires the local tax collected in Orleans Parish beginning April 1, 2016,
through Dec. 31, 2017, to be distributed to the New Orleans Council on
Aging.
Summary of Amendments Adopted by Senate
Committee Amendments Proposed by Senate Committee on Revenue and Fiscal
Affairs to the reengrossed bill
1. Makes changes to the distribution for the local taxes collected in Jefferson
Parish.
2. Removes the deadline for which the local tax distributed to the New Orleans
Council on Aging can occur.
3. Provides for the distribution of local taxes in Bossier, Caddo, Calcasieu, and
East Baton Rouge Parish.
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Prepared by James Benton.