HLS 161ES-148 ORIGINAL
2016 First Extraordinary Session
HOUSE BILL NO. 60
BY REPRESENTATIVE HAVARD
TAX/SALES-USE-EXEMPT: Provides with respect to the sales of certain food and
beverages at convenience stores (Item #36)
1 AN ACT
2To amend and reenact R.S. 47:305(D)(3)(a), relative to state sales and use tax exemptions;
3 to provide for definitions; to provide with respect to the taxability of sales of food
4 and beverages in certain circumstances; to provide for effectiveness; and to provide
5 for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 47:305(D)(3)(a) is hereby amended and reenacted to read as follows:
8 ยง305. Exclusions and exemptions from the tax
9 * * *
10 D.
11 * * *
12 (3)(a)(i) Except as provided in Subparagraph (b) of this Paragraph,
13 food sales by restaurants, drive-ins, snack bars, candy and nut counters, private
14 clubs, and sales made by an establishment not specifically exempted elsewhere who
15 furnish facilities for the consumption of the food on the premises are not exempt
16 from the taxes imposed by taxing authorities.
17 (ii) Food and beverages sold at a convenience store are neither "food for
18 home consumption" nor "package foods requiring further preparation by the
19 purchaser" and thus are not exempt from taxes imposed by taxing authorities. For
20 purposes of this Item, "convenience store" means a retail business that is smaller in
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 161ES-148 ORIGINAL
HB NO. 60
1 square footage than a full-line grocery store, discount store, department store, or
2 pharmacy, and that places primary emphasis on providing the public convenient
3 locations from which to quickly purchase from limited lines of consumable products.
4 Further, the sales of a convenience store shall consist primarily of motor fuels and
5 lubricants; snack foods, including sandwiches, hot dogs, candy, nuts, and chips; beer;
6 liquor; wine; tobacco products; soft drinks; fishing baits; newspapers; and
7 magazines, and the same must be sufficiently diversified within these product lines
8 so that the business is not classified as a speciality retailer such as a liquor retailer,
9 sandwich shop, newsstand, or tobacco shop.
10 * * *
11 Section 2. This Act shall become effective on 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 60 Original 2016 First Extraordinary Session Havard
Abstract: Establishes that sales of food and beverages at a convenience store are neither
"food for home consumption" nor "food requiring further preparation by the
purchaser" and are not exempt from state and local sales and use taxes.
Present constitution establishes an exemption from state sales and use tax for "food for home
consumption" and references specific definitions in law in 2003, which remain today in
present law as follows:
(1)Food sold for preparation and consumption in the home including bakery products.
(2)Dairy products.
(3)Soft drinks.
(4)Fresh fruits and vegetables.
(5)Package foods requiring further preparation by the purchaser.
Present law establishes exemptions for the foregoing items.
Proposed law retains present law and provides that food and beverages sold at a convenience
store are neither "food for home consumption" nor "foods requiring further preparation by
the purchaser", and thus are not exempt from taxes imposed by taxing authorities.
Effective April 1, 2016.
(Amends R.S. 47:305(D)(3)(a))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.