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 22 Original 2020 First Extraordinary Session Davis
Abstract: Changes the rate of compensation dealers are authorized to deduct for collection of sales
and use taxes, changes the aggregate amount in which they can retain per month and changes
the levies from which they can deduct the compensation.
Present law imposes a 4.45% state tax upon the sale, use, consumption, storage, or rental of certain
tangible personal property and services.
Present law provides that the dealer shall be allowed to deduct and retain .935% of the total amount
of taxes due for the purpose of compensating the dealer for accounting for and remitting the tax.
Proposed law changes the amount dealers may deduct and retain to 1.5% of the total amount of taxes
due.
Present law further provides the aggregate state compensation for a dealer shall not exceed $1,500
per calendar month. Proposed law increases this amount to $2,500 per calendar month.
Present law provides that the calculation of the compensation shall be based only on the taxes levied
pursuant to R.S. 47:302, 321, 331, and R.S. 51:1286. Proposed law adds R.S. 47:321.21 to the list
of levies upon which the calculation of compensation is based.
(Amends R.S. 47:306(A)(3)(a))