ENROLLED
2024 Third Extraordinary Session
HOUSE BILL NO. 8
BY REPRESENTATIVE BRASS AND SENATOR JENKINS
1 AN ACT
2 To amend and reenact R.S. 47:301(3)(a), (4)(introductory paragraph), (a) through (e), and
3 (h), (5), (7)(a), (9), (10)(a)(i), (12), (13)(a), (15), (18)(a)(i) and (d)(i), (19), and
4 (29)(x)(introductory paragraph) and (ix), 302(A), (B), (K)(1) and (2), (U), and
5 (V)(1)(introductory paragraph), (a), and (b)(introductory paragraph), 303(A)(2) and
6 (3)(a) and (G), 303.1(A) and (B)(1)(introductory paragraph) and (c) and (2)(b),
7 304(B), 305(E), 305.10(A) and (C) through (E), 305.14(A)(1)(a) and (5), 305.38,
8 305.53(A), 306.5(A)(1) and (2)(c), 307(A) through (C), 309(A)(1), 309.1(B)(1) and
9 (2)(b) and (D), 310(A), 312, 314, 315(A) and (B)(1), 315.3(A), 315.5(A), (B)(3), and
10 (C)(1)(c), 321(A) and (B), 321.1(A) and (B), 331(A) and (B), 337.3(A), and
11 340.1(A)(3) and (5) and R.S. 51:1286(B), to enact R.S. 47:301(10)(c)(ii)(cc) and (jj),
12 (18)(a)(v), (32), (33), and (34), 301.3, and 305.5, and to repeal R.S. 47:301(16)(h)
13 and (p) and (23), relative to sales and use taxes; to provide for the levy of sales and
14 use taxes on certain digital products and services; to provide for the rates of such
15 taxes; to provide for definitions; to provide relative to exclusions and exemptions
16 from sales and use taxes; to provide relative to administration of sales and use taxes;
17 to provide relative to tax collection and enforcement; to provide for liability for
18 collection and payment of certain sales and use taxes; to provide for record keeping
19 and reporting; to provide for sourcing; to provide for certain limitations and
20 requirements; to provide for effectiveness; to provide for applicability; and to
21 provide for related matters.
22 Be it enacted by the Legislature of Louisiana:
23 Section 1. R.S. 47:301(3)(a), (4)(introductory paragraph), (a) through (e), and (h),
24 (5), (7)(a), (9), (10)(a)(i), (12), (13)(a), (15), (18)(a)(i) and (d)(i), (19), and
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1 (29)(x)(introductory paragraph) and (ix), 302(A), (B), (K)(1) and (2), (U), and
2 (V)(1)(introductory paragraph), (a), and (b)(introductory paragraph), 303(A)(2) and (3)(a)
3 and (G), 303.1(A) and (B)(1)(introductory paragraph) and (c) and (2)(b), 304(B), 305(E),
4 305.10(A) and (C) through (E), 305.14(A)(1)(a) and (5), 305.38, 305.53(A), 306.5(A)(1) and
5 (2)(c), 307(A) through (C), 309(A)(1), 309.1(B)(1) and (2)(b) and (D), 310(A), 312, 314,
6 315(A) and (B)(1), 315.3(A), 315.5(A), (B)(3), and (C)(1)(c), 321(A) and (B), 321.1(A) and
7 (B), 331(A) and (B), 337.3(A), and 340.1(A)(3) and (5) are hereby amended and reenacted
8 and R.S. 47:301(10)(c)(ii)(cc) and (jj), (18)(a)(v), (32), (33), and (34), 301.3, and 305.5 are
9 hereby enacted to read as follows:
10 §301. Definitions
11 As used in this Chapter, the following words, terms, and phrases have the
12 meanings ascribed to them in this Section, unless the context clearly indicates a
13 different meaning:
14 * * *
15 (3)(a) "Cost price" means the actual cost of the articles of tangible personal
16 property or digital products without any deductions therefrom on account of the cost
17 of materials used, labor, or service cost, except those service costs for installing the
18 articles of tangible personal property or digital products if such the cost is separately
19 billed to the customer at the time of installation, transportation charges, or any other
20 expenses whatsoever, or the reasonable market value of the tangible personal
21 property or digital products at the time it becomes susceptible to the use tax,
22 whichever is less.
23 * * *
24 (4) "Dealer" includes every person who manufactures or produces tangible
25 personal property or digital products for sale at retail, for use, or consumption, or
26 distribution, or for storage to be used or consumed in a taxing jurisdiction. "Dealer"
27 is further defined to mean:
28 (a) Every person who imports, or causes to be imported, tangible personal
29 property or digital products from any other state, foreign country, or other taxing
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1 jurisdiction for sale at retail, for use, or consumption, or distribution, or for storage
2 to be used or consumed in a taxing jurisdiction.
3 (b) Every person who sells at retail, or who offers for sale at retail, or who
4 has in his possession for sale at retail, or for use, or consumption, or distribution, or
5 storage to be used or consumed in the taxing jurisdiction, tangible personal property
6 or digital products as defined herein in this Section.
7 (c) Any person who has sold at retail, or used, or consumed, or distributed,
8 or stored for use or consumption in the taxing jurisdiction, tangible personal property
9 or digital products and who cannot prove that the tax levied by this Chapter has been
10 paid on the sale at retail, the use, the consumption, the distribution, or the storage of
11 said the tangible personal property or digital products.
12 (d)(i) Any person who leases or rents tangible personal property or digital
13 products for a consideration, permitting the use or possession of the said property or
14 products without transferring title thereto.
15 (ii) However, a person who leases or rents tangible personal property or
16 digital products to customers who provide information to such the person that they
17 will use the property or products only offshore beyond the territorial limits of the
18 state shall not be included in the term "dealer" for purposes of the collection of the
19 rental or lease tax of the state, statewide political subdivisions, and other political
20 subdivisions on such lease or rental contracts. For purposes of this Item, "use" means
21 the operational or functional use of the property and not other uses related to its
22 possession such as transportation, maintenance, and repair. It is the intention of this
23 Item that the customers of such persons shall remit any tax due on the lease or rental
24 of such the property or digital products directly to the state and local taxing bodies
25 to whom they are due.
26 (e) Any person who is the lessee or rentee of tangible personal property or
27 digital products and who pays to the owner of such the property or product a
28 consideration for the use or possession of such the property without acquiring title
29 thereto.
30 * * *
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1 (h) Any person engaging in business in the taxing jurisdiction. "Engaging in
2 business in the taxing jurisdiction" means and includes any of the following methods
3 of transacting business: maintaining directly, indirectly, or through a subsidiary, an
4 office, distribution house, sales house, warehouse, or other place of business or by
5 having an agent, salesman, or solicitor operating within the taxing jurisdiction under
6 the authority of the seller or its subsidiary irrespective of whether such the place of
7 business, agent, salesman, or solicitor is located in such the taxing jurisdiction
8 permanently or temporarily or whether such the seller or subsidiary is qualified to
9 do business in such the taxing jurisdiction, or any person who makes deliveries of
10 tangible personal property or digital products into the taxing jurisdiction other than
11 by a common or contract carrier.
12 * * *
13 (5) "Gross sales" means the sum total of all retail sales of tangible personal
14 property or digital products, without any deduction whatsoever of any kind or
15 character except as provided in this Chapter.
16 * * *
17 (7)(a) "Lease or rental" means the leasing or renting of tangible personal
18 property or digital products and the possession or use thereof by the lessee or renter,
19 for a consideration, without transfer of the title of such the property or products. For
20 the purpose of the leasing or renting of automobiles, "lease" means the leasing of
21 automobiles and the possession or use thereof by the lessee, for a consideration,
22 without the transfer of the title of such that property for a one hundred eighty-day
23 period or more. "Rental" means the renting of automobiles and the possession or use
24 thereof by the renter, for a consideration, without the transfer of the title of such that
25 property for a period less than one hundred eighty days.
26 * * *
27 (9) "Purchaser" means and includes any person who acquires or receives any
28 tangible personal property or digital products, or the privilege of using any tangible
29 personal property or digital products, or receives any services pursuant to a
30 transaction subject to tax under this Chapter.
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1 (10)(a)(i) Solely for the purposes of the imposition of the state sales and use
2 tax, "retail sale" or "sale at retail" means a sale to a consumer, end user, or to any
3 other person for any purpose other than for resale as tangible personal property or a
4 digital product, or for the lease of automobiles in an arm's length transaction, and
5 shall mean and include all such transactions as that the secretary, upon investigation,
6 finds to be in lieu of sales; provided that sales for resale or for lease of automobiles
7 in an arm's length transaction must be made in strict compliance with the rules and
8 regulations. Any dealer making a sale for resale or for the lease of automobiles,
9 which is not in strict compliance with the rules and regulations, shall himself be
10 liable for and pay the tax.
11 * * *
12 (c)
13 * * *
14 (ii)
15 * * *
16 (cc) The term "sale at retail" does not include consuming any digital product
17 in producing for sale a new product or taxable service, where the digital product
18 becomes an ingredient or component of the new product or taxable service. A digital
19 code becomes an ingredient or component of a new product or taxable service if the
20 digital product, through the use of the digital code, becomes an ingredient or
21 component of the new product or taxable service.
22 * * *
23 (jj) With respect to digital products, the term "sale at retail" does not include
24 making any digital product available free of charge for the use or enjoyment of
25 others. For purposes of this Subparagraph, "free of charge" means that the recipient
26 of the digital product is not required to provide anything of significant value in
27 exchange for the product. A transfer is not free of charge if the digital product is
28 bundled or combined with other products or services subject to sales or use tax
29 regardless of whether such items are separately stated and invoiced.
30 * * *
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1 (12)(a) "Sale" means any transfer of title or possession, or both, exchange,
2 barter, conditional or otherwise, in any manner or by any means whatsoever, of
3 tangible personal property or digital products, for a consideration, and includes the
4 fabrication of tangible personal property for consumers who furnish, either directly
5 or indirectly, the materials used in fabrication work, and the furnishing, preparing or
6 serving, for a consideration, of any tangible personal property, consumed on the
7 premises of the person furnishing, preparing or serving such the tangible personal
8 property. A transaction whereby the possession of property is transferred but the
9 seller retains title as security for the payment of the price shall be deemed a sale.
10 (b) With respect to digital products, "sale" means the first act within this
11 state by which the taxpayer, as a consumer, views, accesses, downloads, possesses,
12 stores, opens, manipulates, or otherwise uses or enjoys the product.
13 (c) With respect to prewritten computer access services and information
14 services, "sale" means the first act within this state by which the taxpayer, as a
15 consumer, uses, enjoys, or otherwise receives the benefit of the service.
16 (13)(a) "Sales price" means the total amount for which tangible personal
17 property is or digital products are sold, less the market value of any article traded in
18 including any services, except services for financing, that are a part of the sale valued
19 in money, whether paid in money or otherwise, and includes the cost of materials
20 used, labor or service costs, except costs for financing which shall not exceed the
21 legal interest rate and a service charge not to exceed six percent of the amount
22 financed, and losses; provided that cash discounts allowed and taken on sales shall
23 not be included, nor shall the sales price include the amount charged for labor or
24 services rendered in installing, applying, remodeling, or repairing property sold.
25 * * *
26 (15) "Storage" means and includes any keeping or retention in the taxing
27 jurisdiction of tangible personal property or digital products for use or consumption
28 within the taxing jurisdiction or for any purpose other than for sale at retail in the
29 regular course of business.
30 * * *
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1 (18)(a)(i) Solely for purposes of the imposition of the state sales and use tax,
2 "use" means and includes the exercise of any right or power over tangible personal
3 property or digital products incident to the ownership thereof, except that it shall not
4 include the sale at retail of that property those items of property or products in the
5 regular course of business or the donation to a school in the state which meets the
6 definition provided in R.S. 17:236 or to a public or recognized independent
7 institution of higher education in the state of property previously purchased for resale
8 in the regular course of a business. The term "use" shall not include the purchase, the
9 importation, the consumption, the distribution, or the storage of automobiles to be
10 leased in an arm's length transaction, nor shall the term "use" include the donation
11 of food items to a food bank as defined in R.S. 9:2799(B).
12 * * *
13 (v) The term "use" applies to the first act within this state by which the
14 taxpayer, as a consumer, views, accesses, downloads, possesses, stores, opens,
15 manipulates, or otherwise enjoys, uses, or receives the benefits of a digital product,
16 prewritten computer access service, or information service. Use includes access and
17 use of digital products, prewritten computer access services, and information
18 services that remain in the possession of the dealer or in the possession of a third
19 party on behalf of the dealer.
20 * * *
21 (d)(i) Notwithstanding any other provision of law to the contrary, and except
22 as provided in Item (iii) of this Subparagraph, for purposes of state and political
23 subdivision sales and use tax, "use" means and includes the exercise of any right or
24 power over tangible personal property or digital products incident to the ownership
25 thereof, except that it shall not include the further processing of tangible personal
26 property into articles of tangible personal property or digital products for sale.
27 * * *
28 (19) "Use tax" includes the use, the consumption, the distribution, and the
29 storage as herein defined in this Section. No use tax shall be due to or collected by:
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1 (a) The state on tangible personal property or digital products used,
2 consumed, distributed, or stored for use or consumption in the state if the sale of
3 such the property or products would have been exempted or excluded from sales tax
4 at the time such the property or products became subject to the taxing jurisdiction of
5 the state.
6 (b) Any political subdivision on tangible personal property or digital
7 products used, consumed, distributed, or stored for use or consumption in such the
8 political subdivision if the sale of such the property or products would have been
9 exempted or excluded from sales tax at the time such the property or products
10 became subject to the taxing jurisdiction of the political subdivision.
11 * * *
12 (29) With respect to the furnishing of telecommunications and ancillary
13 services, as used in this Chapter the following words, terms, and phrases have the
14 meaning ascribed to them in this Paragraph, unless the context clearly indicates a
15 different meaning:
16 * * *
17 (x) "Telecommunications service" means the electronic transmission,
18 conveyance, or routing of voice, data, audio, video, or any other information or
19 signals to a point, or between or among points. "Telecommunications service"
20 includes such the transmission, conveyance, or routing in which computer processing
21 applications are used to act on the form, code, or protocol of the content for purposes
22 of transmission, conveyance, or routing without regard to whether such the service
23 is referred to as voice over Internet protocol service or is classified by the Federal
24 Communications Commission as an enhanced or value-added service.
25 "Telecommunications service" does not include any of the following:
26 * * *
27 (ix) Digital products delivered electronically, including but not limited to
28 software, music, video, reading materials, or ring tones.
29 * * *
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1 (32)(a) "Digital product" means digital audiovisual works, digital audio
2 works, digital books, digital codes, digital applications and games, digital periodicals
3 and discussion forums, and any other otherwise taxable tangible personal property
4 transferred electronically, whether digitally delivered, streamed, or accessed and
5 whether purchased singly, by subscription, or in any other manner, including
6 maintenance, updates, and support.
7 (b) For purposes of this Paragraph, the following terms have the meanings
8 ascribed to them in this Subparagraph:
9 (i) "Digital audiovisual works" means a series of related images that, when
10 shown in succession, impart an impression of motion, together with accompanying
11 sounds. "Digital audiovisual works" include but are not limited to motion pictures;
12 musical, videos, news, and entertainment programs; and live events.
13 (ii) "Digital audio works" means works that result from the fixation of a
14 series of musical, spoken, or other sounds that are transferred electronically,
15 including prerecorded or live songs, music, readings of books or other written
16 materials, speeches, ring tones, or other sound recording.
17 (iii) "Digital books" means works that are generally recognized in the
18 ordinary and usual sense as books and which are transferred electronically, including
19 works of fiction, nonfiction, and short stories.
20 (iv) "Digital code" means a code that provides the person who holds the code
21 a right to obtain one or more digital products. A digital code may be obtained by any
22 means, including tangible forms and electronic mail, regardless of whether the code
23 is designated as a song code, video code, or book code. The term "digital code"
24 includes codes used to access or obtain any digital products that have been
25 previously purchased and promotion cards or codes that are purchased by a retailer
26 or other business entity for use by the retailer's or entity's customers. "Digital code"
27 does not include any gift certificate or gift card with monetary value that may be
28 redeemable for an item other than a digital product.
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1 (v) "Digital applications and games" means any application or game,
2 including add-ons or additional content, that can be used by a computer, mobile
3 device, or tablet notwithstanding the function performed.
4 (vi) "Digital periodical and discussion forum" means a digital newspaper,
5 digital magazine, other digital periodical, chat room discussion, weblog, or any other
6 similar product.
7 (c) "Digital product" shall not include any of the following:
8 (i) Any intangible such as a patent, stock, bond, goodwill, trademark,
9 franchise, or copyright.
10 (ii) Telecommunications services and ancillary services as those terms are
11 defined in Subparagraphs (27)(b) and (x) of this Section.
12 (iii) Internet access service charges.
13 (iv) The representation of a work product resulting from a professional
14 service, as described in Subparagraph (16)(d) of this Section, in an electronic form,
15 such as an electronic copy of an engineering report prepared by an engineer that
16 primarily involves the application of human effort, and the human effort originated
17 after the customer requested the service.
18 (v) A product having electrical, digital, magnetic, wireless, optical,
19 electromagnetic, or similar capabilities where the purchaser holds a copyright or
20 other intellectual property interest in the product, in whole or part, if the purchaser
21 uses the product solely for commercial purposes, including advertising or other
22 marketing activities.
23 (vi) Cable television services, direct-to-home satellite services, video
24 programming services, or satellite digital audio radio services.
25 (d) The sale of a digital code that may be utilized to obtain a digital product
26 shall be taxed in the same manner as the digital product.
27 (e) For purposes of taxes imposed under Chapters 2-A and 2-B of this
28 Subtitle, whenever the words "property" or "personal property" are used, those terms
29 shall be construed to include any digital product unless any of the following
30 circumstances apply:
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1 (i) It is clear from the context that the term "personal property" is intended
2 only to refer to tangible personal property.
3 (ii) It is clear from the context that the term "property" is intended only to
4 refer to tangible personal property, immovable property, or both.
5 (iii) To construe the term "property" or "personal property" as including any
6 digital product would yield unlikely, absurd, or strained consequences.
7 (33)(a) "Transferred electronically" means any product obtained by the
8 purchaser by means other than tangible storage media, regardless of whether the
9 seller grants permanent or less than permanent use and regardless of whether the
10 transaction is conditioned upon contingent payment. It is not necessary that a copy
11 of the product be physically transferred to the purchaser. So long as the purchaser
12 may access the product, it shall be considered to have been transferred electronically
13 to the purchaser.
14 (b) For purposes of this Paragraph, the term "permanent use" means perpetual
15 use or use for an indefinite or unspecified length of time.
16 (34)(a) "End user" means any purchaser other than a purchaser who receives
17 by contract a digital product for further commercial broadcast, rebroadcast,
18 transmission, retransmission, licensing, relicensing, distribution, redistribution, or
19 exhibition of the product, in whole or in part, to others. A person who purchases
20 digital products for the purpose of giving away those products or codes shall not be
21 considered to have engaged in the distribution or redistribution of such products or
22 codes and shall be treated as an end user.
23 (b) If a purchaser of a digital product does not receive the contractual right
24 to further redistribute, after the digital code is redeemed, the underlying product to
25 which the digital code relates, then the purchaser of the digital code shall be deemed
26 an end user. If the purchaser of the digital code receives the contractual right to
27 further redistribute, after the digital code is redeemed, the underlying product to
28 which the digital code relates, then the purchaser of the digital code shall not be
29 deemed an end user. A purchaser of a digital code who has the contractual right to
30 further redistribute the digital code shall be deemed an end user if that purchaser
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1 does not have the right to further redistribute, after the digital code is redeemed, the
2 underlying product to which the digital code relates.
3 * * *
4 §301.3. Digital products
5 A. Nexus. For purposes of the taxes imposed under this Chapter and
6 Chapters 2-A and 2-B of this Subtitle, the department shall not consider a person's
7 ownership of, or rights in, digital products residing on servers located in this state in
8 determining whether the person has substantial nexus with this state. For purposes
9 of this Section, "substantial nexus" means the requisite connection that a person has
10 with a state to allow the state to subject the person to the state's taxing authority,
11 consistent with the commerce clause of the United States Constitution.
12 B. Bundled transactions. (1) In the case of the sale of a digital code that
13 provides a purchaser with the right to obtain more than one digital product, and
14 which may also include the right to obtain other products or services, and all of the
15 products and services, digital or otherwise, to be obtained through the use of the code
16 do not have the same sales and use tax treatment, both of the following requirements
17 apply:
18 (a) The transaction shall be deemed to be the sale of the products and
19 services to be obtained through the use of the code.
20 (b) The sales and use tax shall apply to the entire selling price of the code,
21 except as provided in Paragraph (2) of this Subsection.
22 (2) If the seller can identify by reasonable and verifiable standards the
23 portion of the selling price attributable to the products and services that are not
24 subject to sales and use tax from its books and records that are kept in the regular
25 course of business for other purposes, including but not limited to nontax purposes,
26 sales and use tax shall not apply to that portion of the selling price of the code
27 attributable to the products and services that are not subject to sales and use tax.
28 C. Rules. The secretary may promulgate rules and regulations in accordance
29 with the Administrative Procedure Act to implement the provisions of this Section,
30 including rules addressing the taxation of any and all digital products and services.
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1 Any rule promulgated by the department pursuant to this Section shall be construed
2 in favor of the secretary.
3 §302. Imposition of tax
4 A. There is hereby levied a tax upon the sale at retail, the use, the
5 consumption, the distribution, and the storage for use or consumption in this state,
6 of each item or article of tangible personal property or digital product, as defined
7 herein, the levy of said tax to in this Chapter. The levy of the tax shall be as follows:
8 (1) At the rate of two per centum (2%) two percent of the sales price of each
9 item or article of tangible personal property or digital product when sold at retail in
10 this state; the tax to be computed on gross sales for the purpose of remitting the
11 amount of tax due the state, and to include each and every retail sale.
12 (2) At the rate of two per centum (2%) two percent of the cost price of each
13 item or article of tangible personal property or digital product when the same is not
14 sold but is used, consumed, distributed, or stored for use or consumption in this state;
15 provided there shall be no duplication of the tax.
16 B. There is hereby levied a tax upon the lease or rental within this state of
17 each item or article of tangible personal property or digital product, as defined
18 herein; the levy of said tax to in this Chapter. The levy of the tax shall be as follows:
19 (1) At the rate of two per centum (2%) two percent of the gross proceeds
20 derived from the lease or rental of tangible personal property or a digital product, as
21 defined herein in this Chapter, where the lease or rental of such the property or
22 product is an established business, or part of an established business, or the same is
23 incidental or germane to the said business.
24 (2) At the rate of two per centum (2%) two percent of the monthly lease or
25 rental price paid by lessee or rentee, or contracted or agreed to be paid by lessee or
26 rentee to the owner of the tangible personal property or digital product.
27 * * *
28 K. An additional tax shall be levied as follows:
29 (1) At the rate of four percent of the sales price of each item or article of
30 tangible personal property or digital product when sold at retail in this state; the tax
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1 to be computed on gross sales for the purpose of remitting the amount of tax due the
2 state, and to include each and every retail sale.
3 (2) At the rate of four percent of the cost price of each item or article of
4 tangible personal property or digital product when the same is not sold but is used,
5 consumed, distributed, or stored for use or consumption in this state; provided there
6 shall be no duplication of the tax.
7 * * *
8 U. Collection of consumer use tax. It is the duty of the secretary of the
9 Department of Revenue to collect all taxes imposed pursuant to this Chapter and
10 Chapters 2-A and 2-B of this Subtitle which may be due upon the sale by a remote
11 retailer of tangible personal property, digital products, or services in Louisiana. The
12 secretary is authorized and directed to employ all means available to ensure the
13 collection of the tax in an equitable, efficient, and effective manner.
14 V.(1) In addition to the definition of "dealer" as provided in R.S. 47:301(4)
15 for purposes of the consumer use tax, the term "dealer" includes every person who
16 manufactures or produces tangible personal property or digital products for sale at
17 retail, for use or consumption, or distribution, or for storage to be used or consumed
18 in a taxing jurisdiction. "Dealer" is further defined to mean:
19 (a) Any person engaging in business in the taxing jurisdiction which shall
20 mean the solicitation of business through an independent contractor or any other
21 representative pursuant to an agreement with a Louisiana resident or business under
22 which the resident or business, for a commission, referral fee, or other consideration
23 of any kind, directly or indirectly, refers potential customers, whether by link on an
24 internet website, an in-person oral presentation, telemarketing, or otherwise to the
25 seller. If the cumulative gross receipts from sales of tangible personal property or
26 digital products to customers in this state who are referred to the person through such
27 an agreement exceeds fifty thousand dollars during the preceding twelve months, the
28 presumption regarding the status of that person as a dealer may be rebutted if the
29 person can demonstrate, to the satisfaction of the secretary, that he cannot reasonably
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1 be expected to have gross receipts in excess of fifty thousand dollars for the
2 succeeding twelve months.
3 (b) Any person selling tangible personal property, digital products, or
4 services, the use of which is taxed pursuant to this Chapter, who:
5 * * *
6 §303. Collection
7 A. Collection from dealer.
8 * * *
9 (2) On all tangible personal property or digital products imported, or caused
10 to be imported, from other states or foreign countries, and used by him, the "dealer",
11 as hereinafter defined, shall pay the tax imposed by this Chapter on all articles of
12 tangible personal property or digital products so imported and used, the same as if
13 the said those articles or products had been sold at retail for use or consumption in
14 this state. For the purposes of this Chapter, the use, or consumption, or distribution,
15 or storage to be used or consumed in this state of tangible personal property or digital
16 products, shall each be equivalent to a sale at retail, and the tax shall thereupon
17 immediately levy and be collected in the manner provided herein, provided there
18 shall be no duplication of the tax in any event.
19 (3)(a) A credit against the use tax imposed by this Chapter shall be granted
20 to taxpayers who have paid a similar tax upon the sale or use of the same tangible
21 personal property or digital products in another state. The credit provided herein
22 shall only be granted only in the case where the state to which a similar tax has been
23 paid grants a similar credit as provided herein, provided that members of the armed
24 forces who are citizens of this state and whose orders or enlistment contracts
25 stipulate a period of active duty of two years or more and who purchase automobiles
26 outside of the state of Louisiana while on such a tour of active duty shall be granted
27 such the credit in connection with the purchase of such the automobiles whether or
28 not the state to which such the tax thereon has been paid grants a similar credit as
29 herein provided. The amount of the credit shall be calculated by multiplying the rate
30 of the similar tax paid in the other state by the cost price which is subject to
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1 Louisiana use tax at the time of the importation of the tangible personal property or
2 digital products. The proof of payment of a similar tax to another state shall be made
3 according to rules and regulations promulgated by the secretary. In no event shall the
4 credit be greater than the tax imposed by Louisiana upon the particular tangible
5 personal property or digital product which is the subject of the Louisiana use tax.
6 * * *
7 G. Direct Payment Numbers. Notwithstanding any provision of law to the
8 contrary, a Louisiana taxpayer who obtains a DP Number as provided in R.S.
9 47:303.1 shall remit sales and use taxes due on purchases and rentals of tangible
10 personal property, digital products, and taxable services directly to the state and local
11 taxing bodies to whom the sales and use taxes are due, and shall not be liable to remit
12 the tax to the vendor or lessor of the tangible personal property, digital products, and
13 taxable services, as provided in R.S. 47:303.1.
14 * * *
15 §303.1. Direct Payment Numbers
16 A. Notwithstanding any other law to the contrary except for the provisions
17 of R.S. 47:303(B) and (E), the state and local sales and use tax due on the purchase,
18 importation, or lease of tangible personal property, digital products, or taxable
19 services by taxpayers who have obtained a Direct Payment Number, hereinafter
20 referred to as a "DP Number," "DP Number", shall be remitted directly to the state
21 and appropriate political subdivision by such the taxpayer, as provided in this
22 Section. The vendor or lessor of tangible personal property, digital products, or
23 taxable services shall not be responsible for collecting sales and use tax on such sales
24 or leases, and shall not be liable for such the tax as provided in R.S. 47:304(C), upon
25 presentation to him of a valid DP Number by such purchaser or lessee, provided that
26 the vendor or lessor notes the DP Number on the untaxed contract or invoice
27 submitted to such the purchaser and lessee.
28 B.(1) A DP Number shall be issued to and shall be continued to be held by
29 a taxpayer who obtains the required approvals and who meets all of the following
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1 qualifications and all other applicable qualifications provided for in this Section and
2 the following qualifications:
3 * * *
4 (c) The taxpayer has an annual average of five million dollars of taxable
5 purchases or leases of tangible personal property and, digital products, taxable
6 services, or any combination of these for three calendar years prior to the year of
7 application by the taxpayer, and has such an average for each subsequent three-year
8 period.
9 * * *
10 (2)
11 * * *
12 (b) Separate DP Numbers shall be issued to and shall be continued to be held
13 by taxpayers that are subsidiary entities of a private, nonprofit, tax-exempt
14 organization, as defined under Section 501(c)(3) of the Internal Revenue Code, that
15 meets the requirements of Subparagraph (a) of this Paragraph, as well as to those
16 taxpayer entities in which the tax-exempt organization is the sole member, provided
17 that these entities are licensed by the Louisiana Department of Health, Louisiana
18 Board of Pharmacy, or otherwise have as their mission promoting the delivery of
19 healthcare and patient medical services and products and further provided that these
20 entities and the tax exempt organization together have in the aggregate an annual
21 average of ten million dollars of taxable purchases or leases of tangible personal
22 property and, digital products, or taxable services for three calendar years prior to the
23 year of application, and have such an that average for each subsequent three-year
24 period, and which obtain the required approvals and meet the qualifications provided
25 for in Subparagraphs (1)(b) and (1)(d) of this Subsection.
26 * * *
27 §304. Treatment of tax by dealer
28 * * *
29 B. Every dealer located outside the state making sales of tangible personal
30 property or digital products for distribution, storage, use, or other consumption, in
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1 this state, shall, at the time of making sales, collect the tax imposed by this Chapter
2 from the purchaser.
3 * * *
4 §305. Exclusions and exemptions from the tax
5 * * *
6 E. It is not the intention of any taxing authority to levy a tax upon articles of
7 tangible personal property or digital products imported into this state, or produced
8 or manufactured in this state, for export; nor is it the intention of any taxing authority
9 to levy a tax on bona fide interstate commerce; however, nothing herein shall prevent
10 the collection of the taxes due on sales of tangible personal property or digital
11 products into this state which are promoted through the use of catalogs and other
12 means of sales promotion and for which federal legislation or federal jurisprudence
13 enables the enforcement of the sales tax of a taxing authority upon the conduct of
14 such business. It is, however, the intention of the taxing authorities to levy a tax on
15 the sale at retail, the use, the consumption, the distribution, and the storage to be used
16 or consumed in this state, of tangible personal property or digital products after it has
17 they have come to rest in this state and has become a part of the mass of property
18 in this state. At such time as When federal legislation or federal jurisprudence as to
19 sales in interstate commerce promoted through the use of catalogs and other means
20 of sales promotions enables the enforcement of this Chapter or any other law or local
21 ordinance imposing a sales tax against vendors that have no other nexus with the
22 taxing jurisdiction, the following provisions shall apply to such sales on which sales
23 and use tax would not otherwise be collected.
24 * * *
25 §305.5. Exemptions; software and digital products; business use; healthcare use
26 A.(1) The sales and use tax imposed by taxing authorities shall not apply to
27 computer software or prewritten computer software access services, information
28 services, or digital products when all of the following conditions are met:
29 (a) The service or product is purchased or licensed exclusively for
30 commercial purposes.
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1 (b) The service or product is used by the business directly in the production
2 of goods or services for sale to its customers.
3 (c) The goods or services produced and sold by the business are subject to
4 sales and use tax or to the insurance premium tax.
5 (2) The exemption provided in this Subsection shall not apply to computer
6 software or computer software access services not directly involved in the production
7 of goods or services for the customers of the business.
8 B. The use tax imposed by taxing authorities shall not apply to the use of
9 digital products that are created solely for the business needs of the person who
10 created the digital products and are not the type of digital products that are offered
11 for sale.
12 C. Digital products, prewritten computer software access services, and
13 information services purchased and used by an FDIC-insured financial institution for
14 storing, transmitting, processing, or analyzing customer and account information,
15 facilitating transactions, account processes, investment processes, lending processes,
16 security, and compliance shall be exempt from sales and use tax imposed by taxing
17 authorities. This exemption shall also apply to an FDIC-insured financial
18 institution's holding company, subsidiaries, and affiliates, and to a service
19 corporation wholly owned by one or more FDIC-insured financial institutions.
20 D. The sales and use tax imposed by taxing authorities shall not apply to
21 digital products that are used by licensed healthcare facilities and providers for
22 storing or transmitting healthcare information or for the diagnosis or treatment of a
23 medical condition.
24 * * *
25 §305.10. Exclusions and exemptions; property purchase purchased for first use
26 outside the state
27 A. There shall be no sales or use tax due upon the sale at retail or use of
28 tangible personal property, including diesel fuel, or digital products purchased within
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1 or imported into Louisiana for first use exclusively beyond the territorial limits of
2 Louisiana as specifically provided hereinafter in this Section.
3 * * *
4 C.(1) If the first use of tangible personal property or digital products
5 purchased within or imported into Louisiana occurs offshore beyond the territorial
6 limits of any state, the exemption provided herein in this Section shall apply only if
7 either of the following conditions are met:
8 (1) (a) The purchaser or importer has determined the location of the first use
9 of the tangible personal property or digital product at the time of its purchase and has
10 notified the vendor of that location; or.
11 (2) (b) The purchaser or importer has not determined the intended offshore
12 location of first use at the time of purchase or importation, but has obtained from the
13 secretary of the Department of Revenue an "offshore registration number"
14 authorizing him to claim the exemption under the following conditions provided in
15 this Paragraph:
16 (a) Said (i) The offshore registration number shall be issued only if the
17 purchaser or importer has shown, to the satisfaction of the secretary, that records,
18 reports, and business practices are sufficient to permit verification that tangible
19 personal property or a digital product purchased or imported tax-free under pursuant
20 to this Subsection is, in fact, being purchased or imported for use offshore beyond
21 the territorial limits of any state. In cases of purchases of fungible goods, including
22 vessel fuel and lubricants, the required records shall include purchase invoices,
23 vessel logs, fuel usage records, fuel transfer records, and other reports and records
24 that will enable the secretary to determine the amount of fungible goods consumed
25 within Louisiana so as to be subject to the sales and use tax, and the amount of
26 fungible goods delivered to or consumed at offshore locations beyond the territorial
27 limits of the state, so as not to be subject to the sales and use tax. For the purpose
28 purposes of the this Section, the term "fungible goods" means goods of which any
29 unit is unidentifiable and is, from its nature or by mercantile custom, treated as the
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1 equivalent of any other unit and shall include crude petroleum and its refined
2 products.
3 (b) (ii) The offshore registration number issued by the secretary under
4 pursuant to this Subsection may be revoked by the secretary at any time if the
5 purchaser or importer fails to meet the conditions set herein, or if the secretary finds
6 that the purchaser or importer is consistently using the certificate to purchase or
7 import tax-free tangible personal property or digital products for first use in state.
8 (c) (iii) If the offshore registration number is revoked, all tangible personal
9 property or digital products purchased or imported tax-free under this Paragraph and
10 in the possession of the purchaser or importer within this state shall be deemed
11 taxable unless otherwise exempt under pursuant to the provisions of Paragraph (1)
12 of this Subsection Subparagraph (a) of this Paragraph. If the provisions of Paragraph
13 (1) of this Subsection Subparagraph (a) of this Paragraph are not complied with, any
14 subsequent purchase or import of tangible personal property will be taxable, whether
15 for instate or offshore use, until the certificate and offshore number are reissued.
16 (d) (iv) Whenever there is a conflict between a purchaser or importer and the
17 secretary as to whether an offshore registration number shall be issued, reissued, or
18 revoked, it shall be the responsibility of the purchaser or importer to show that he
19 meets the conditions and requirements set herein provided in this Section for having
20 and retaining said the certificate and offshore registration number.
21 (3) (2) Except for purchases or importation of tangible personal property or
22 digital products in accordance with Paragraphs (1) and (2) Subparagraphs (1)(a) and
23 (1)(b) of this Subsection, any purchase or importation of property is taxable at the
24 time of purchase or import unless otherwise exempt.
25 D. If tangible personal property or digital products purchased or imported
26 tax-free under pursuant to the provisions of this Section is are subsequently used for
27 any taxable purpose within the state, use tax shall be paid by the purchaser or
28 importer as of the time of its use in this state. Storage of property purchased or
29 imported tax-free under pursuant to this Section which is ultimately used in another
30 state will be considered a "subsequent use for a taxable purpose".
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1 E. If tangible personal property or digital products purchased within or
2 imported into the state tax-free under pursuant to the provisions of this Section is are
3 later returned to Louisiana for use for a taxable purpose, the property shall be subject
4 to the Louisiana use tax as of the time it is brought into the state, subject to the credit
5 provided in R.S. 47:303(A).
6 * * *
7 §305.14. Exclusions and exemptions; nonprofit organizations; nature of exemption;
8 limitations; qualifications; newspapers; determination of tax exempt status
9 A.(1)(a) The sales and use taxes imposed by taxing authorities shall not
10 apply to sales of tangible personal property or digital products at, or admission
11 charges for, outside gate admissions to, or parking fees associated with, events
12 sponsored by domestic, civic, educational, historical, charitable, fraternal, or
13 religious organizations, which are nonprofit, when the entire proceeds, except for
14 necessary expenses such as fees paid for guest speakers, chair and table rentals, and
15 food and beverage utility related items connected therewith, are used for educational,
16 charitable, religious, or historical restoration purposes, including the furtherance of
17 the civic, educational, historical, charitable, fraternal, or religious purpose of the
18 organization. In addition, newspapers published in this state by religious
19 organizations shall also be exempt from such taxes, provided that the price paid for
20 the newspaper or a subscription to the newspaper does not exceed the cost to publish
21 such the newspaper.
22 * * *
23 (5) Notwithstanding any other provision of law to the contrary, for purposes
24 of state and political subdivision sales and use tax, "sales and use" shall not mean the
25 purchase of tangible personal property, digital products, or taxable services, by
26 nonprofit literacy organizations in compliance with the court order from the Dodd
27 Brumfield decision and Section 501(c)(3) of the Internal Revenue Code, limited to
28 books, workbooks, computers, computer software, films, videos, and audio tapes.
29 * * *
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1 §305.38. Exclusions and exemptions; sheltered workshop or supported employment
2 provider for persons with intellectual disabilities
3 The sale at retail, the use, the consumption, the distribution, and the storage
4 for use or consumption in this state of each item or article of tangible personal
5 property or digital products by a sheltered workshop or a supported employment
6 provider as defined in R.S. 39:1604.4 for persons with intellectual disabilities
7 licensed by the Department of Children and Family Services as a day developmental
8 training center for persons with intellectual disabilities shall not be subject to the
9 sales and use taxes levied by the state or by any political subdivision thereof.
10 * * *
11 §305.53. Exclusions and exemptions; sickle cell disease organizations
12 A. The sale at retail, the rental or lease, the use, the consumption, the
13 distribution, and the storage for use or consumption in this state of each item or
14 article of tangible personal property, or digital product, or any taxable service, by a
15 nonprofit organization established prior to 1975 which conducts a comprehensive
16 program on sickle cell disease which includes but is not limited to free education,
17 free testing, free counseling, and free prescriptions, transportation, and food
18 packages for sickle cell patients shall not be subject to the sales and use taxes levied
19 by the state or by any other tax taxing authority.
20 * * *
21 §306.5. Annual reporting requirement
22 A.(1) Notwithstanding any provision of law to the contrary, transactions
23 listed in Subsection B of this Section involving sales of tangible personal property,
24 digital products, or services that are not subject to state sales and use tax pursuant to
25 the exclusions and exemptions provided by law shall be subject to an annual
26 reporting requirement based on transactions occurring during the previous fiscal
27 year, beginning on July first of the preceding year and ending on June thirtieth of the
28 current year.
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1 (2) The annual report shall include all of the following information:
2 * * *
3 (c) Annual gross sales of tangible personal property, digital products, or
4 services that are not subject to state sales and use tax pursuant to the exclusions and
5 exemptions provided for in Subsection B of this Section.
6 * * *
7 §307. Collector's authority to determine the tax in certain cases
8 A. In the event any dealer fails to make a report and pay the tax as provided
9 in this Chapter or in case the dealer makes a grossly incorrect report or a report that
10 is false or fraudulent, the collector shall make an estimate of the retail sales of such
11 the dealer for the taxable period, of the gross proceeds from rentals or leases of
12 tangible personal property by the dealer, or the cost price of all articles of tangible
13 personal property or digital products imported by the dealer for use or consumption
14 or distribution or storage to be used or consumed in this state, and of the gross
15 amounts paid or charged for services taxable; and it shall be the duty of the collector
16 to assess and collect the tax together with any interest and penalty that may have
17 accrued thereon, which assessment shall be considered prima facie correct and the
18 burden to show the contrary shall rest upon the dealer.
19 B. In the event the dealer has imported tangible personal property or digital
20 products and he fails to produce an invoice showing the cost price of the articles
21 which are subject to tax, or the invoice does not reflect the true or actual cost, then
22 the collector shall ascertain in any manner feasible the true cost price and shall assess
23 and collect the tax, together with any interest and penalties that may have accrued,
24 on the basis of the true cost as assessed by him. The assessment so made shall be
25 considered prima facie correct, and the burden shall be on the dealer to show the
26 contrary.
27 C. In the case of the lease or rental of tangible personal property or digital
28 products, if the consideration given or reported by the dealer does not, in the
29 judgment of the collector, represent the true or actual consideration, then the
30 collector is authorized to ascertain in any manner feasible the true or actual
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1 consideration and assess and collect the tax thereon together with any interest and
2 penalties that may have accrued. The assessment so made shall be considered prima
3 facie correct and the burden shall be on the dealer to show the contrary.
4 * * *
5 §309. Dealers required to keep records
6 A.(1) Every dealer required to make a report and pay any tax under pursuant
7 to this Chapter shall keep and preserve suitable records of the sales, purchases, or
8 leases taxable under pursuant to this Chapter, and such other books of accounts as
9 may be necessary to determine the amount of tax due hereunder, and other
10 information as may be required by the secretary; and each dealer shall secure,
11 maintain, and keep, until the taxes to which they relate have prescribed, a complete
12 record of tangible personal property or digital products received, used, sold at retail,
13 distributed, or stored, leased, or rented, within this state by the said dealer, together
14 with invoices, bills of lading, and other pertinent records and papers as may be
15 required by the secretary for the reasonable administration of this Chapter, and a
16 complete record of all sales or purchases of services taxable under pursuant to this
17 Chapter until the taxes to which they relate have prescribed.
18 * * *
19 §309.1. Sales in Louisiana of tangible personal property, digital products, and
20 taxable services by a dealer or remote retailer; the provision of lists, notices,
21 and statements by a dealer or remote retailer
22 * * *
23 B. Definitions. As used in this Section, the following words and phrases have
24 the following meanings unless the context clearly indicates otherwise:
25 (1) "Louisiana purchaser" or "purchaser" means a person who purchases
26 tangible personal property, digital products, or taxable services in a transaction with
27 a remote retailer for property or a service that is delivered for use or benefit in
28 Louisiana, and no Louisiana sales and use tax was collected or paid on the
29 transaction.
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1 (2) "Remote retailer" or "retailer" means a retailer that purposefully avails
2 itself in any way of the benefits of an economic market in Louisiana or who has any
3 other minimum contacts with the state and who meets all of the following criteria:
4 * * *
5 (b) Makes retail sales of tangible personal property, digital products, or
6 taxable services where the property is delivered into Louisiana or the beneficial use
7 of the service occurs in Louisiana, and the cumulative annual gross receipts for the
8 retailer and its affiliates from those sales exceeds fifty thousand dollars per calendar
9 year.
10 * * *
11 D. Annual statement submitted by remote retailer. By March first of each
12 year, a remote retailer who made retail sales of tangible personal property, digital
13 products, or taxable services to Louisiana purchasers in the immediately preceding
14 calendar year shall file with the secretary an annual statement for each purchaser
15 which includes the total amount paid by the purchaser to that retailer in the
16 immediately preceding calendar year. Under no circumstances shall the statement
17 contain detail as to specific property or services purchased, but it shall include the
18 total amount paid. The statement shall be submitted on forms to be developed and
19 provided by the secretary. The secretary is authorized to may require the electronic
20 filing of statements by a remote retailer who had sales in Louisiana in excess of one
21 hundred thousand dollars in the immediately preceding calendar year.
22 * * *
23 §310. Wholesalers and jobbers required to keep records
24 A. All wholesale dealers and jobbers in this state shall keep a record of all
25 sales of tangible personal property or digital products made in this state whether such
26 the sales be for cash or on terms of credit. These records shall contain and include
27 the name and address of the purchaser, the date of the purchase, the article
28 purchased, and the price at which the article is sold to the purchaser. These records
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1 shall be kept until the taxes to which they relate have prescribed and shall be open
2 to the inspection of the secretary at all reasonable hours.
3 * * *
4 §312. Failure to pay tax on imported tangible personal property or digital products;
5 grounds for attachment
6 A. The failure of any dealer to pay the tax and any interest, penalties, or
7 costs due under pursuant to the provisions of this Chapter on any tangible personal
8 property or digital products imported from outside the state for use, consumption,
9 distribution, or storage to be used in this state, or imported for the purpose of leasing
10 or renting the same, shall make the tax, interest, penalties, or costs ipso facto
11 delinquent. This failure shall moreover be a sufficient ground for the attachment of
12 the personal property imported wherever it may be found, whether the delinquent
13 taxpayer is a resident or nonresident, and whether the property is in the possession
14 of the delinquent taxpayer or in the possession of other persons.
15 B. It is the intention of this law to prevent the disposition of the said tangible
16 personal property or digital products in order to insure payment of the tax imposed
17 by this Chapter, together with interest, penalties and costs, and authority to attach is
18 hereby specifically granted to the collector. The procedure prescribed by law in
19 attachment proceedings shall be followed except that no bond shall be required of
20 the State state.
21 * * *
22 §314. Failure to pay tax; rule to cease business
23 Failure to pay any tax due as provided in this Chapter shall ipso facto,
24 without demand or putting in default, cause the tax, interest, penalties, and costs to
25 become immediately delinquent, and the collector has the authority, on motion in a
26 court of competent jurisdiction, to take a rule on the dealer, to show cause in not less
27 than two or more than ten days, exclusive of holidays, why the dealer should not be
28 ordered to cease from further pursuit of business as a dealer. This rule may be tried
29 out of term and in chambers, and shall always be tried by preference. If the rule is
30 made absolute, the order rendered thereon shall be considered a judgment in favor
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1 of the state, prohibiting the dealer from the further pursuit of said the business until
2 such time as he has paid the delinquent tax, interest, penalties, and costs, and every
3 violation of the injunction shall be considered as a contempt of court, and punished
4 according to law. For the purpose purposes of the enforcement of this Chapter and
5 the collection of the tax levied hereunder, it is presumed that all tangible personal
6 property and digital products imported or held in this state by any dealer is are to be
7 sold at retail, used or consumed, or stored for use or consumption in this state, or
8 leased or rented within this state, and is are subject to the tax herein levied; this
9 presumption shall be prima facie only, and subject to proof furnished to the collector.
10 §315. Sales returned to dealer; credit or refund of tax
11 A. Whenever tangible personal property or digital products are sold is and
12 returned to the dealer by the purchaser or consumer, or in the event the amount paid
13 or charged for services is refunded or credited to the purchaser or consumer after the
14 tax imposed by this Chapter has been collected, or charged to the account of the
15 purchaser, consumer, or user, the dealer shall be entitled to reimbursement of the
16 amount of tax so collected or charged by him, in the manner prescribed by the
17 collector; and in case if the tax has not been remitted by the dealer to the collector,
18 the dealer may deduct the same in submitting his return. Upon receipt of a signed
19 statement of the dealer as to the gross amount of such refunds during the period
20 covered by the signed statement, which period shall not be longer than ninety days,
21 the collector shall issue to the dealer an official credit memorandum equal to the net
22 amount remitted by the dealer for the tax collected. This memorandum shall be
23 accepted by the collector at full face value from the dealer to whom it is issued, in
24 the remittance for subsequent taxes accrued under pursuant to the provisions of this
25 Chapter. In cases where a dealer has retired from business and has filed a final
26 return, a refund of tax may be made if it can be established to the satisfaction of the
27 collector that the tax paid was not due.
28 B.(1) Whenever the unpaid balance of an account due to the dealer for the
29 purchase of tangible personal property, digital products, or the sale of services
30 subject to sales taxation has been found to be bad in accordance with Section 166 of
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1 the United States Internal Revenue Code and has actually been charged off for
2 federal income tax purposes, the dealer shall be entitled to reimbursement of the
3 amount of tax previously paid by the dealer on such amounts.
4 * * *
5 §315.3. Sales tax refund; sales and rentals covered by Medicare
6 A. Any person who has paid sales and use taxes, levied by the state and any
7 other taxing authorities in the state, upon the sale, lease, or rental of tangible personal
8 property or digital products when such the sale, lease, or rental is paid by or under
9 pursuant to the provisions of Medicare, shall be entitled to reimbursement of the
10 amount of tax paid on such property those items of property or products. Upon
11 receipt of a signed statement of such a person as to the amount of taxes paid under
12 pursuant to the provisions of this Chapter on such tangible personal property or
13 digital products and upon proof of payment by or under pursuant to the provisions
14 of Medicare, the secretary and the appropriate taxing authorities shall make a refund
15 to such the person in the amount to which he is entitled.
16 * * *
17 §315.5. Sales tax refund; nonprofits employing or training persons with workplace
18 disabilities or disadvantages
19 A. A qualified charitable institution which submits an application to the
20 secretary of the Department of Revenue shall receive an exemption in the form of a
21 restricted refund of the sales and use tax of the state which the institution has
22 collected on the sale of donated tangible personal property, digital products, or items
23 made from such donated property; provided that, the refund is used exclusively in
24 this state for land acquisition, capital construction, or equipment, or debt service
25 related thereto, and/or; or job training, job placement, employment, or other related
26 community services and support program costs.
27 B. As used in this Section, "qualified charitable institution" means an
28 organization which meets the following criteria:
29 * * *
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1 (3) It routinely sells donated tangible personal property, digital products, or
2 items made from such donated property.
3 * * *
4 C.(1)
5 * * *
6 (c) Once approved, the charitable institution shall file sales tax returns as
7 required reporting the total state sales tax it has collected and take a deduction
8 therefrom for the amount of state sales tax collected on qualifying exempt sales of
9 donated tangible personal property, digital products, or items made from donated
10 tangible personal property.
11 * * *
12 §321. Imposition of tax
13 A. In addition to the tax levied by R.S. 47:302(A), 321.1(A), and 331(A) and
14 collected under pursuant to the provisions of Chapter Chapters 2 and 2-B of this
15 Subtitle II of this Title, there is hereby levied an additional tax upon the sale at retail,
16 the use, the consumption, the distribution, and the storage for use or consumption in
17 this state of each item or article of tangible personal property or digital product, as
18 defined in Chapter 2 of this Subtitle II of this Title. The levy of said the tax shall be
19 as follows:
20 (1) At the rate of one percent of the sales price of each item or article of
21 tangible personal property or digital product when sold at retail in this state except
22 for prepaid calling service and prepaid wireless calling service, the tax to be
23 computed on gross sales for the purpose of remitting the amount of tax to the state,
24 and to include each and every retail sale.
25 (2) At the rate of one percent of the cost price of each item or article of
26 tangible personal property or digital product except for prepaid calling service and
27 prepaid wireless calling service when the same is not sold but is used, consumed,
28 distributed, or stored for use or consumption in this state, provided that there shall
29 be no duplication of the tax.
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1 B. In addition to the tax levied by R.S. 47:302(B), 321.1(B), and 331(B) and
2 collected under pursuant to the provisions of Chapter Chapters 2 and 2-B of this
3 Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950, there is hereby
4 levied a tax upon the lease or rental within this state of each item or article of
5 tangible personal property or digital product, as defined by said in Chapter 2 of this
6 Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950; the levy of said the
7 tax to be as follows:
8 (1) At the rate of one percent of the gross proceeds derived from the lease
9 or rental of tangible personal property or digital product, as defined in Chapter 2 of
10 this Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950, where the lease
11 or rental of such the property or product is in an established business, or part of an
12 established business, or the same is incidental or germane to the business.
13 (2) At the rate of one percent of the monthly lease or rental price paid by a
14 lessee or rentee, or contracted or agreed to be paid by a lessee or rentee, to the owner
15 of the tangible personal property or digital product.
16 * * *
17 §321.1. Imposition of tax
18 A. In addition to the tax levied by R.S. 47:302(A), 321(A), and 331(A) and
19 collected under pursuant to the provisions of Chapter Chapters 2 and 2-B of this
20 Subtitle, there is hereby levied an additional tax upon the sale at retail, the use, the
21 consumption, the distribution, and the storage for use or consumption in this state of
22 each item or article of tangible personal property or digital product as defined in
23 Chapter 2 of this Subtitle. The levy of said the tax shall be as follows:
24 (1) At the rate of forty-five hundredths of one percent of the sales price of
25 each item or article of tangible personal property or digital product when sold at
26 retail in this state, the tax to be computed on gross sales for the purpose of remitting
27 the amount of tax to the state, and to include each and every retail sale.
28 (2) At the rate of forty-five hundredths of one percent of the cost price of
29 each item or article of tangible personal property or digital product when the same
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1 is not sold but is used, consumed, distributed, or stored for use or consumption in this
2 state, provided that there shall be no duplication of the tax.
3 B. In addition to the tax levied by R.S. 47:302(B), 321(B), and 331(B) and
4 collected under pursuant to the provisions of Chapter Chapters 2 and 2-B of this
5 Subtitle, there is hereby levied a tax upon the lease or rental within this state of each
6 item or article of tangible personal property or digital product, as defined by Chapter
7 2 of this Subtitle; the levy of the tax to be as follows:
8 (1) At the rate of forty-five hundredths of one percent of the gross proceeds
9 derived from the lease or rental of tangible personal property or digital product, as
10 defined in Chapter 2 of this Subtitle, where the lease or rental of such the property
11 or product is in an established business, or part of an established business, or the
12 same is incidental or germane to the business.
13 (2) At the rate of forty-five hundredths of one percent of the monthly lease
14 or rental price paid by a lessee or rentee, or contracted or agreed to be paid by a
15 lessee or rentee, to the owner of the tangible personal property or digital product.
16 * * *
17 §331. Imposition of tax
18 A. In addition to the tax levied by R.S. 47:302(A), 321(A), and 321.1(A) and
19 collected under pursuant to the provisions of Chapter Chapters 2 and 2-A of this
20 Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950, there is hereby
21 levied an additional tax upon the sale at retail, the use, the consumption, the
22 distribution, and the storage for use or consumption in this state of each item or
23 article of tangible personal property or digital product, as defined in Chapter 2 of this
24 Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950; the. The levy of
25 said tax to the tax shall be as follows:
26 (1) At the rate of ninety-seven one hundredths of one percentum percent of
27 the sales price of each item or article of tangible personal property or digital product
28 when sold at retail in this state, the tax to be computed on gross sales for the purpose
29 of remitting the amount of tax to the state, and to include each and every retail sale.
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1 (2) At the rate of ninety-seven one hundredths of one percentum percent of
2 the cost price of each item or article of tangible personal property or digital product
3 when the same is not sold but is used, consumed, distributed, or stored for use or
4 consumption in this state, provided that there shall be no duplication of the tax.
5 B. In addition to the tax levied by R.S. 47:302(B), 321(B), and 321.1(B) and
6 collected under pursuant to the provisions of Chapter Chapters 2 and 2-A of this
7 Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950, there is hereby
8 levied a tax upon the lease or rental within this state of each item or article of
9 tangible personal property or digital product, as defined by said in Chapter 2 of this
10 Subtitle II of Title 47 of the Louisiana Revised Statutes of 1950; the. The levy of
11 said tax to the tax shall be as follows:
12 (1) At the rate of ninety-seven one hundredths of one percentum percent of
13 the gross proceeds derived from the lease or rental of tangible personal property or
14 digital product, as defined in Chapter 2 of this Subtitle II of Title 47 of the Louisiana
15 Revised Statutes of 1950, where the lease or rental of such the property or product
16 is in an established business, or part of an established business, or the same is
17 incidental or germane to the business.
18 (2) At the rate of ninety-seven one hundredths of one percentum percent of
19 the monthly lease or rental price paid by a lessee or rentee, or contracted or agreed
20 to be paid by a lessee or rentee, to the owner of the tangible personal property.
21 * * *
22 §337.3. Imposition of political subdivision tax
23 A.(1) A taxing authority may continue to levy sales and use taxes under
24 authority provided for such political subdivisions by the statutes or Constitution of
25 Louisiana.
26 (2) A taxing authority shall levy sales and use taxes on the sale at retail, the
27 use, the lease or rental, the consumption, and the storage of digital products. The
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1 levy of local sales and use tax on digital products shall be subject to the definitions,
2 exclusions, and exemptions provided in Chapters 2, 2-A, and 2-B of this Subtitle.
3 * * *
4 §340.1. Marketplace facilitators; collection and remittance of state and local sales
5 and use tax
6 A. Definitions. For purposes of this Section, the following words and phrases
7 shall have the following meanings, unless the context clearly indicates otherwise:
8 * * *
9 (3) "Marketplace" means any physical or electronic platform or forum,
10 owned, operated, or otherwise controlled by the marketplace facilitator, through
11 which a marketplace seller may sell or offer for sale tangible personal property,
12 digital products, or sales of services for delivery into Louisiana.
13 * * *
14 (5) "Marketplace seller" means a person who sells or offers for sale tangible
15 personal property, digital products, or sales of services for delivery into Louisiana
16 through a marketplace that is owned, operated, or controlled by a marketplace
17 facilitator.
18 * * *
19 Section 2. R.S. 51:1286(B) is hereby amended and reenacted to read as follows:
20 §1286. Sales and use tax
21 * * *
22 B. The tax so authorized pursuant to this Section shall be imposed by
23 ordinance adopted by the district without the need of an election and shall be levied
24 upon the sale at retail, the use, the lease or rental, the distribution, the consumption,
25 and the storage for use or consumption of tangible personal property, digital
26 products, and on sales of services in the state of Louisiana, as now or hereafter
27 defined in and as provided by Chapter 2 of Subtitle II of Title 47 of the Louisiana
28 Revised Statutes of 1950, subject to the exemptions and suspensions of exemptions
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1 to the same extent that such the exemptions and suspensions of exemptions now or
2 hereafter apply to the tax levied in R.S. 47:331.
3 * * *
4 Section 3. R.S. 47:301(16)(h) and (p) and (23) are hereby repealed in their entirety.
5 Section 4. The provisions of this Act shall apply to taxable periods beginning on or
6 after January 1, 2025.
7 Section 5. In any instance in which a provision of this Act conflicts with a provision
8 of the Act which originated as House Bill No. 10 of this 2024 Third Extraordinary Session
9 of the Legislature, the provision of the Act which originated as House Bill No. 10 of this
10 2024 Third Extraordinary Session of the Legislature shall prevail and be given effect.
11 Section 6. This Act shall become effective upon signature by the governor or, if not
12 signed by the governor, upon expiration of the time for bills to become law without signature
13 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
14 vetoed by the governor and subsequently approved by the legislature, this Act shall become
15 effective on the day following such approval.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
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