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 568 Original 2021 Regular Session Jordan
Abstract: Authorizes the levy of an excise tax on the wholesale sale of cannabis by a cannabis
production facility to a cannabis-infused product manufacturing facility or a cannabis retailer.
Proposed law authorizes an excise tax upon the wholesale sale of cannabis by a cannabis production
facility to a cannabis-infused product manufacturing facility or cannabis retailer at the rate of 15%.
Proposed law provides for definitions.
Proposed law authorizes the secretary of the Dept. of Revenue to collect, supervise, and enforce the
collection of taxes, penalties, and interest related to the excise tax.
Proposed law establishes that the cannabis production facility is responsible for collecting the excise
tax at the point of wholesale sale and remitting the collected taxes along with returns to the Dept.
of Revenue in accordance with the law.
Proposed law establishes that the Dept. of Revenue may make rules and regulations in order to carry
out the duties of proposed law.
Proposed law establishes taxes collected pursuant to proposed law are dedicated for the following
uses:
(1)25% to elementary and secondary schools.
(2)15% to mental health.
(3)15% to state police.
(4)15% to transportation.
(5)10% to early childhood education.
(6)5% to La. State University.
(7)5% to Southern University.
(8)5% to drug and alcohol prevention. (9)5% to higher education programs.
Effective Jan. 1, 2022.
(Adds R.S. 47:1699.1-1699.7)