HLS 21RS-52 ORIGINAL
2021 Regular Session
HOUSE BILL NO. 50
BY REPRESENTATIVE STEFANSKI
TAX/SALES & USE: Provides a state and local sales and use tax exclusion for certain re-
leases or re-rentals of items of tangible personal property
1 AN ACT
2To enact R.S. 47:301(7)(m), 302(BB)(114), 321(P)(115), 321.1(I)(115), and 331(V)(115),
3 relative to state sales and use tax; to provide for a state sales and use tax exclusion
4 for certain re-leases or re-rentals of items of tangible personal property; to provide
5 for definitions; to provide for an effective date; and to provide for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 47:301(7)(m), 302(BB)(114), 321(P)(115), 321.1(I)(115), and
8331(V)(115) are hereby enacted to read as follows:
9 §301. Definitions
10 As used in this Chapter the following words, terms, and phrases have the
11 meanings ascribed to them in this Section, unless the context clearly indicates a
12 different meaning:
13 * * *
14 (7)
15 * * *
16 (m)(i) For purposes of any sales, use, lease, or rental tax, the term "lease or
17 rental" shall not mean or include the re-lease or re-rental of any item of tangible
18 personal property made by a short-term equipment rental dealer.
19 (ii) For purposes of this Subparagraph, "short-term equipment rental dealer"
20 shall mean a person or entity whose principal business is the short-term rental of
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HB NO. 50
1 tangible personal property classified under the code numbers 532412 and 532310 of
2 the North American Industry Classification System published by the United States
3 Bureau of the Census.
4 (iii) For purposes of this Subparagraph, "short-term rental" shall mean the
5 rental of an item of tangible personal property for a period of less than three hundred
6 sixty-five days, for an undefined period, or under an open-ended agreement.
7 * * *
8 §302. Imposition of tax
9 * * *
10 BB. Notwithstanding any other provision of law to the contrary, including
11 but not limited to any contrary provisions of this Chapter, beginning July 1, 2018,
12 through June 30, 2025, there shall be no exemptions and no exclusions to the tax
13 levied pursuant to the provisions of this Section, except for the retail sale, use,
14 consumption, distribution, or storage for use or consumption of the following:
15 * * *
16 (114) Re-lease or re-rental by a short-term equipment rental dealer as
17 provided in R.S. 47:301(7)(m).
18 * * *
19 §321. Imposition of tax
20 * * *
21 P. Notwithstanding any other provision of law to the contrary, including but
22 not limited to any contrary provisions of this Chapter, beginning July 1, 2018,
23 through June 30, 2025, there shall be no exemptions and no exclusions to the tax
24 levied pursuant to the provisions of this Section, except for the retail sale, use,
25 consumption, distribution, or storage for use or consumption of the following:
26 * * *
27 (115) Re-lease or re-rental by a short-term equipment rental dealer as
28 provided in R.S. 47:301(7)(m).
29 * * *
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HB NO. 50
1 §321.1. Imposition of tax
2 * * *
3 I. Notwithstanding any other provision of law to the contrary, including but
4 not limited to any contrary provisions of this Chapter, beginning July 1, 2018,
5 through June 30, 2025, there shall be no exemptions and no exclusions to the tax
6 levied pursuant to the provisions of this Section, except for the retail sale, use,
7 consumption, distribution, or storage for use or consumption of the following:
8 * * *
9 (115) Re-lease or re-rental by a short-term equipment rental dealer as
10 provided in R.S. 47:301(7)(m).
11 * * *
12 §331. Imposition of tax
13 * * *
14 V. Notwithstanding any other provision of law to the contrary, including but
15 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
17 levied pursuant to the provisions of this Section, except for the retail sale, use,
18 consumption, distribution, or storage for use or consumption of the following:
19 * * *
20 (115) Re-lease or re-rental by a short-term equipment rental dealer as
21 provided in R.S. 47:301(7)(m).
22 * * *
23 Section 2. This Act shall become effective upon signature by the governor or, if not
24signed by the governor, upon expiration of the time for bills to become law without signature
25by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
26vetoed by the governor and subsequently approved by the legislature, this Act shall become
27effective on the day following such approval.
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HB NO. 50
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 50 Original 2021 Regular Session Stefanski
Abstract: Establishes a state and local sales and use tax exclusion for the re-lease or re-
rental of items of tangible personal property made by a short-term equipment rental
dealer.
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%
Proposed law establishes an exclusion from state and local sales and use tax for the re-lease
or re-rental of any item of tangible personal property made by a short-term equipment rental
dealer.
Proposed law defines, for purposes of the exclusion in proposed law, a "short-term
equipment rental dealer" as a person or entity whose principal business is the short-term
rental of tangible personal property classified under code numbers 532412 and 532310 of
the North American Industry Classification System, published by the U. S. Bureau of
Census.
Proposed law further defines a "short-term rental" as the rental of tangible personal property
for a period of less than 365 days, for an undefined period, or under an open-ended
agreement.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Adds R.S. 47:301(7)(m), 302(BB)(114), 321(P)(115), 321.1(I)(115), and 331(V)(115))
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