Tax Facts Index

New laws affect sales and use taxes

The Louisiana Legislature enacted a number of measures affecting sales and use taxes during its 1998 Regular Session. These measures include:

ACT 10 (HB 75) extends until July 1, 2000, the provisions of Act 12 of 1996 relative to the exclusion for motor vehicles purchased for subsequent lease.

ACT 21 (HB 229) provides until the year 2000 the extension of the exemption for coke-on-catalyst, other fuel sources used for non-boiler fuels, and the consumption of any residue or by-product produced from a raw material and used by the producer.

ACT 22 (SB 8) provides an exclusion from state and local sales and use taxes on food items donated to food banks.

ACT 23 (SB 40) authorizes the issuance of a direct pay number to a general contractor licensed under R.S. 37:2150. All sales or use taxes owed on any tangible personal property purchased for use in the project are due to the local taxing jurisdiction which issued the direct pay number. The provisions of this Act are optional on both the contractor and the local taxing jurisdiction.

ACT 28 (SB 64) provides an exemption from state and local sales and use tax for Bass Life or any of its chapters and for utilities used by certain steelworks and blasts furnaces. This exemption does not apply to utilities used in the production of coke in oil refineries and the use of coke in oil refineries and other chemical processes.

ACT 37 (SB 115) provides for an exclusion from state and local sales and use tax for the sale or purchase of equipment used in fire fighting by bona fide volunteer and public fire departments. The Act also exempts adaptive driving equipment and motor vehicle modifications prescribed by a physician, a licensed chiropractor, or a licensed driver rehabilitation specialist.

ACT 40 (HB 16) excludes from state and local sales and use tax camp and retreat facilities owned and operated by non-profit religious organizations. These facilities are excluded from the definition of "hotel" and "places of amusement." It also excludes from state and local sales and use taxes certain purchases by the Society of the Little Sisters of the Poor.

ACT 41 (HB 25) extends until July 1, 2000, the provision of Act 8 of 1996 relative to the exemption of certain trucks and trailers used in interstate commerce. It also excludes from state and local sales and use tax contract carrier buses used at least 80% of the time in interstate commerce.

ACT 46 (HB 97) defines tangible personal property to exclude certain work products created in the normal course of business by any person licensed by the provisions of Title 37 of the Louisiana Revised Statutes of 1950.

ACT 49 (HB 114) excludes from state and local sales and use tax leases and rentals of motor vehicles by licensed motor vehicle dealers or manufacturers when the vehicles are furnished to customers to fulfill their obligations under warranty agreements. It also provides an exclusion when the applicable warranty has lapsed and the leased or rented motor vehicle is provided to the customer at no charge.

Sales tax due dates

Following are the sales tax due dates for the fourth quarter of 1998:

Returns bearing a U.S. postmark on or after the above delinquent dates will be assessed penalty, interest and loss of vendor's compensation. Remember to mail your return early.

Taxpayer topics

Tax Facts is issued quarterly by the Department of Finance/Revenue Division to provide information concerning developments and policies regarding the collection of local sales tax within East Baton Rouge Parish.

The Revenue Division invites any suggestions, questions or comments that you would like addressed in future issues of Tax Facts. Please address these items to:

City of Baton Rouge - Department of Finance
P. O. Box 2590
Baton Rouge, Louisiana 70821-2590
ATTENTION: Steve Thomas, Assistant Revenue Manager

Need help?

Taxpayers may call the Revenue Division to receive assistance at the following telephone numbers between the hours of 8 a.m. and 5 p.m., Monday - Friday.

PLEASE NOTE CHANGE IN AREA CODE