HLS 19RS-606 ENGROSSED
2019 Regular Session
HOUSE BILL NO. 209
BY REPRESENTATIVES DAVIS, BAGLEY, DWIGHT, HILFERTY, MAGEE,
MCFARLAND, STEFANSKI, AND ZERINGUE AND SENATORS
BOUDREAUX, JOHNS, MARTINY, MORRISH, GARY SMITH, AND WHITE
TAX EXEMPTIONS: Authorizes a sales and use tax exemption for new automobiles,
aircraft, boats, vessels or other water craft used as demonstrators
1 AN ACT
2To amend and reenact R.S. 47:305(D)(1)(i) and to enact R.S. 47:302(BB)(110), 321(P)(111),
3 321.1(I)(111), and 331(V)(111), relative to sales and use tax; to provide for a sales
4 and use tax exemption for certain vehicles, aircraft, boats, and water craft used as
5 demonstrators; to provide for restrictions and limitations on the use of the vehicles,
6 aircraft, boats, and water craft; to provide for the effectiveness; and to provide for
7 related matters.
8Be it enacted by the Legislature of Louisiana:
9 Section 1. R.S. 47:305(D)(1)(i) is hereby amended and reenacted and R.S.
1047:302(BB)(110), 321(P)(111), 321.1(I)(111), and 331(V)(111) are hereby enacted to read
11as follows:
12 §302. Imposition of tax
13 * * *
14 BB. Notwithstanding any other provision of law to the contrary, including
15 but not limited to any contrary provisions of this Chapter, beginning July 1, 2018,
16 through June 30, 2025, there shall be no exemptions and no exclusions to the tax
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HB NO. 209
1 levied pursuant to the provisions of this Section, except for the retail sale, use,
2 consumption, distribution, or storage for use or consumption of the following:
3 * * *
4 (110) New trucks, new automobiles, new aircraft, and new boats, vessels, or
5 other water craft withdrawn from stock or kept in dealer inventory and used as
6 demonstrators as provided in R.S. 47:305(D)(1)(i).
7 * * *
8 §305. Exclusions and exemptions from the tax
9 * * *
10 D.(1) The sale at retail, the use, the consumption, the distribution, and the
11 storage to be used or consumed in the taxing jurisdiction of the following tangible
12 personal property is hereby specifically exempted from the tax imposed by taxing
13 authorities, except as otherwise provided in this Paragraph:
14 * * *
15 (i) New trucks, new automobiles, new aircraft, and new boats, vessels, or
16 other water craft withdrawn from stock or kept in a dealer's inventory by factory
17 authorized new truck, new automobile, new aircraft dealers, and factory-authorized
18 dealers of new boats, vessels, or other water craft, and used trucks and used
19 automobiles withdrawn from stock or kept in a dealer's inventory by new or used
20 motor vehicle dealers, which are withdrawn for use as demonstrators.
21 * * *
22 §321. Imposition of tax
23 * * *
24 P. Notwithstanding any other provision of law to the contrary, including but
25 not limited to any contrary provisions of this Chapter, beginning July 1, 2018,
26 through June 30, 2025, there shall be no exemptions and no exclusions to the tax
27 levied pursuant to the provisions of this Section, except for the retail sale, use,
28 consumption, distribution, or storage for use or consumption of the following:
29 * * *
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HB NO. 209
1 (111) New trucks, new automobiles, new aircraft, and new boats, vessels, or
2 other water craft withdrawn from stock or kept in dealer inventory and used as
3 demonstrators as provided in R.S. 47:305(D)(1)(i).
4 * * *
5 §321.1. Imposition of tax
6 * * *
7 I. Notwithstanding any other provision of law to the contrary, including but
8 not limited to any contrary provisions of this Chapter, beginning July 1, 2018,
9 through June 30, 2025, there shall be no exemptions and no exclusions to the tax
10 levied pursuant to the provisions of this Section, except for the retail sale, use,
11 consumption, distribution, or storage for use or consumption of the following:
12 * * *
13 (111) New trucks, new automobiles, new aircraft, and new boats, vessels, or
14 other water craft withdrawn from stock or kept in dealer inventory and used as
15 demonstrators as provided in R.S. 47:305(D)(1)(i).
16 * * *
17 §331. Imposition of tax
18 * * *
19 V. Notwithstanding any other provision of law to the contrary, including but
20 not limited to any contrary provisions of this Chapter, beginning July 1, 2018,
21 through June 30, 2025, there shall be no exemptions and no exclusions to the tax
22 levied pursuant to the provisions of this Section, except for the retail sale, use,
23 consumption, distribution, or storage for use or consumption of the following:
24 * * *
25 (111) New trucks, new automobiles, new aircraft, and new boats, vessels, or
26 other water craft withdrawn from stock or kept in dealer inventory and used as
27 demonstrators as provided in R.S. 47:305(D)(1)(i).
28 * * *
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HB NO. 209
1 Section 2. This Act shall become effective upon signature by the governor or, if not
2signed by the governor, upon expiration of the time for bills to become law without signature
3by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
4vetoed by the governor and subsequently approved by the legislature, this Act shall become
5effective on the day following such approval.
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 209 Engrossed 2019 Regular Session Davis
Abstract: Provides for the effectiveness of the sales and use tax exemption for new trucks,
new automobiles, new aircraft, and new boats, vessels, or other water craft
withdrawn from stock used as demonstrators and extends the exemption to include
vehicles kept in a dealer's inventory.
Present law imposes state sales and use taxes on the sale, use, lease, or rental of tangible
personal property pursuant to the following levies in the following amounts:
R.S. 47:302 - 2%
R.S. 47:321 - 1%
R.S. 47:321.1 - .45%
R.S. 47:331 - .97%
R.S. 51:1286 - .03%
Present law exempts new trucks, new automobiles, new aircraft, and new boats, vessels, or
other water craft withdrawn from stock by factory-authorized dealers, and used trucks and
used automobiles withdrawn from stock by new or used motor vehicle dealers for use as
demonstrators from sales and use tax.
Proposed law retains present law but extends the exemption in present law to vehicles kept
in a dealer's inventory in addition to those used as demonstrators.
Present law suspends numerous exemptions from the four levies of state sales and use tax
(R.S. 47:302, 321, 321.1, and 331) through June 30, 2025, including the exemption for new
trucks, new automobiles, new aircraft, and new boats, vessels, or other water craft used as
demonstrators.
Proposed law changes present law by adding the exemption for new trucks, new
automobiles, new aircraft, and new boats, vessels, or other water craft withdrawn from stock
or kept in a dealer's inventory used as demonstrators to the list of exemptions that are
effective through June 30, 2025.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 47:305(D)(1)(i); Adds R.S. 47:302(BB)(110), 321(P)(111), 321.1(I)(111), and
331(V)(111))
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