Excludes therapeutic marijuana from state and local sales and use taxes
Impact
If enacted, HB605 would significantly impact the tax structure relating to marijuana sales in Louisiana. By exempting therapeutic marijuana from sales and use taxes, the bill would provide financial relief to consumers and potentially increase the market for regulated marijuana use. The exclusion is intended to stimulate a more accessible public health approach to marijuana use for therapeutic purposes, aligning state law with evolving public attitudes towards medical marijuana. This legislative change reflects an acknowledgment of the growing recognition of therapeutic marijuana in healthcare.
Summary
House Bill 605 aims to exclude the sales of marijuana for therapeutic use from state and local sales and use taxes. The proposed legislation outlines the specific sections of the Louisiana Revised Statutes that will be amended to provide this exemption, thus not including marijuana sales for therapeutic purposes in the sales and use tax base. The bill is designed to support access to therapeutic marijuana by reducing the financial burden associated with tax liabilities, which could enhance affordability for patients relying on such treatment.
Sentiment
The sentiment surrounding HB605 appears supportive, particularly among advocates for medical marijuana who argue that the bill represents a step toward more compassionate healthcare policies. Proponents believe that removing the sales tax can make therapeutic marijuana more attainable for patients in need. However, there are concerns raised by some fiscal conservatives who may argue that the bill could set a precedent for further exemptions that impact state revenue. Overall, the reception of the bill has been predominantly positive among those focused on healthcare access and patient rights.
Contention
Notable points of contention revolve around the broader implications of tax exemptions on state revenue and budgeting. Critics may express concern that the bill could lead to increased demands for similar exemptions for other products or services, potentially eroding the tax base. Additionally, discussions may arise regarding the effectiveness of such tax strategies in promoting health outcomes compared to other measures. The opposition may emphasize the need for comprehensive discussions about how such changes affect overall community funding and resource allocation.
Levies a 7% tax on the gross sales of therapeutic marijuana and dedicates the avails into the Community and Family Support System Fund (RE1 INCREASE SD RV See Note)
. Excludes funeral establishments that make payment to a third party for cash advance items from the definition of dealer for state and local sales and use tax. (7/1/19)
Authorizes a state and local sales and use tax exclusion for certain re-leases or re-rentals of items of tangible personal property (RE DECREASE GF RV See Note)
Exempts from state and local sales and use taxes certain tangible personal property and services related to photography and videography services. (gov sig) (RE DECREASE GF RV See Note)
Reforms the state systems for regulating the production of marijuana for therapeutic use and for the dispensing of such product (EN INCREASE SG EX See Note)
Enacts Alison Neustrom Act and provides relative to prescribed marijuana for therapeutic uses and the development of rules and regulations by the Louisiana Board of Pharmacy and the Louisiana State Board of Medical Examiners. (gov sig)
Provides for fees and charges to be assessed by the La. Department of Health in connection with regulation of marijuana for therapeutic use (EN NO IMPACT SG RV See Note)
Provides relative to the assessment of a license fee imposed by the Department of Agriculture and Forestry for the production of marijuana for therapeutic use (EN SEE FISC NOTE GF EX See Note)