HLS 161ES-46 ORIGINAL
2016 First Extraordinary Session
HOUSE BILL NO. 9
BY REPRESENTATIVE COX
TAX/SALES & USE: Provides for the amount of dealer's compensation for collection and
remittance of state sales and use taxes (Item #21)
1 AN ACT
2To amend and reenact amend and reenact R.S. 47:306(A)(3), relative to state sales and use
3 tax; to provide for the amount of dealer compensation for the accounting for and the
4 remittance of taxes to the state; to establish a monthly limit on the amount which
5 may be paid to a dealer; to provide for applicability; to provide for effectiveness; and
6 to provide for related matters.
7Be it enacted by the Legislature of Louisiana:
8 Section 1. R.S. 47:306(A)(3) is hereby amended and reenacted to read as follows:
9 ยง306. Returns and payment of tax; penalty for absorption
10 A. General provisions.
11 * * *
12 (3)(a) For the purpose of compensating the dealer in accounting for and
13 remitting the tax levied by this Chapter, each dealer shall be allowed .935 percent of
14 the amount of tax due and accounted for and remitted to the secretary in the form of
15 a deduction in submitting his report and paying the amount due by him, provided the
16 amount of any credit claimed for taxes already paid to a wholesaler shall not be
17 deducted in computing the commission allowed the dealer hereunder. This
18 compensation shall be allowed only if the payment of the dealer is timely paid and
19 the return is timely filed.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 161ES-46 ORIGINAL
HB NO. 9
1 (b) Beginning April 1, 2016, the aggregate state compensation permitted for
2 a dealer under the provisions of this Paragraph, regardless of the dealer's number of
3 business locations in this state, shall not exceed one thousand dollars per calendar
4 month.
5 (b)(c) Municipalities are hereby authorized to pay compensation to their
6 sales tax dealers in any amounts designated by the governing body of the
7 municipality.
8 * * *
9 Section 2. This Act shall become effective on April 1, 2016, and shall be applicable
10to 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 9 Original 2016 First Extraordinary Session Cox
Abstract: Relative to the collection of state sales and use tax, imposes a $1,000 per month
limit on the amount of compensation authorized for a dealer for compensation for the
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 services in La.
Present law requires that dealers 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 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 .935% of taxes
collected as compensation for accounting for and remitting the taxes in a timely manner.
Proposed law retains present law and imposes a $1,000 per month limit on the amount of
compensation permitted to a dealer, regardless of the number of business locations in this
state.
Applicable to all taxable transactions occurring on or after April 1, 2016.
Effective April 1, 2016.
(Amends R.S. 47:306(A)(3))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.