HLS 161ES-119 ORIGINAL
2016 First Extraordinary Session
HOUSE BILL NO. 52
BY REPRESENTATIVE ABRAMSON
TAX/SALES & USE: Provides for the amount of dealer's compensation for the collection
and remittance of state sales and use taxes (Item #21)
1 AN ACT
2To amend and reenact R.S. 47:306(A)(3)(a), relative to state sales and use tax; to provide for
3 the amount of dealer compensation for the accounting for and the remittance of state
4 sales and use taxes; to provide for limitations; to provide for applicability; to provide
5 for effectiveness; and to provide for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 47:306(A)(3)(a) is hereby amended and reenacted to read as follows:
8 ยง306. Returns and payment of tax; penalty for absorption
9 A. General provisions.
10 * * *
11 (3)(a) For the purpose of compensating the dealer in accounting for and
12 remitting the tax levied by this Chapter, each dealer shall be allowed .935 percent of
13 the amount of tax due and accounted for and remitted to the secretary in the form of
14 a deduction in submitting his report and paying the amount due by him, provided the
15 amount of any credit claimed for taxes already paid to a wholesaler shall not be
16 deducted in computing the commission allowed the dealer hereunder. The aggregate
17 state compensation for a dealer who operates one or more business locations within
18 Louisiana shall not exceed five thousand dollars per calendar year. This
19 compensation shall be allowed only if the payment of the dealer is timely paid and
20 the return is timely filed.
21 * * *
Page 1 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 161ES-119 ORIGINAL
HB NO. 52
1 Section 2. This Act shall become effective on April 1, 2016, and shall be applicable
2to all taxable transactions occurring on or after April 1, 2016.
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)]
HB 52 Original 2016 First Extraordinary Session Abramson
Abstract: Relative to the collection of state sales and use taxes, imposes a $5,000 per year
limit on the amount of dealer (vendor) compensation for the collection, accounting
for, and remittance of state sales and use taxes.
Present law imposes a 4% state tax upon the sale, use, consumption, storage, or rental of
certain tangible personal property and certain services.
Present law requires that a dealer either monthly or quarterly transmit to the Dept. of
Revenue a tax return showing the gross sales, gross proceeds from lease or rental, gross
payments for lease or rental, gross proceeds derived from sales of services, or gross
payments for services, arising from all of their taxable transactions during the preceding
calendar month. The return shall also include a computation of taxes due.
Present law authorizes a dealer to deduct and retain an amount equal to 0.935% of taxes
collected as compensation for accounting for and remitting the taxes in a timely manner.
Proposed law retains present law with respect to the rate of compensation but changes
present law by imposing a $5,000 per calendar year limit on the amount of compensation
authorized for a dealer who operates one or more business locations within La.
Applicable to all taxable transactions occurring on or after April 1, 2016.
Effective April 1, 2016.
(Amends R.S. 47:306(A)(3)(a))
Page 2 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.