Sales Tax Statutes and Regulations - Louisiana Department of ...

R.S. 47:302.1
broadcast media, furnish nontaxable services
to their clients and as part of furnishing those
services often provide their clients with tangible
personal property such as film, video
tapes, scripts, brochures, bumper stickers,
and pamphlets; and
WHEREAS, it was not the intention of the
Legislature in enacting the state’s sales and
use tax laws to levy a tax on such transactions;
and
WHEREAS, the Department of Revenue and
Taxation is currently attempting to assess and
collect sales and use tax on these transactions;
and
WHEREAS, the Department of Revenue and
Taxation has not attempted to collect sales
and use tax on such services in the past; and
WHEREAS, the current sales and use tax provisions
contain certain ambiguities regarding
the taxability of these transactions which
need clarification and the Department of Revenue
and Taxation has not promulgated any
rule notifying taxpayers of its change in interpretation
of this substantive law as required
by the Administrative Procedure Act in R.S.
49:951(6), and the Department should desist
from attempting to collect taxes in the face of
such ambiguities.
THEREFORE, BE IT RESOLVED that the Legislature
of Louisiana does hereby urge and
request the Department of Revenue and Taxation
to do all of the following:
(1) Cease attempting to collect sales and use
tax on services rendered to clients of advertising
businesses, including but not limited to
advertising agencies, design firms, and print
and broadcast media, whether or not such
services also involve a transfer to the client of
tangible personal property.
(2) To advise in writing all advertising businesses
currently under assessment or audit
that the department is withdrawing assessments
or will exclude from audit assessments
of sales and use tax on transactions which
involve the transfer of advertising-related tangible
personal property.
(3) Withdraw such assessments.
(4) Report in writing to the chairman of the
Senate Revenue and Fiscal Affairs Committee
and the House Committee on Ways and Means
by June 15, 1987, on whether the actions
requested by this Resolution have been completed,
on the reasons for any failure to perform
any or all of the actions requested by this
Resolution, and on the basic form of the writing
sent to advertising businesses advising
them of the withdrawal of assessments pursuant
to this Resolution.
(5) Prepare proposed regulations and send
them along with the written report requested
in Paragraph 4 of this Resolution to the chairman
of the committees, which regulations
shall provide for the policy of the Department
regarding charges made by advertising businesses
to their clients as nontaxable services,
whether or not such services also involve the
transfer to the client of tangible personal
property.
(6) Initiate proceedings pursuant to the Administrative
Procedure Act to promulgate such
regulations after study of the regulations by
the committees.
BE IT FURTHER RESOLVED that the Legislature
of Louisiana does hereby urge and request
the Senate Committee on Revenue and Fiscal
Affairs and the House Committee on Ways and
Means to review the compliance by the Department
with the request made by this Resolution;
to review the regulations proposed by the
Department; and to study the various problems
in this area in order to recommend remedial
legislation.
R.S. 47:302.1. Exemptions from lease or
rental tax, helicopters
A. Whenever a helicopter used in the exploration
for or the extraction or production of oil, gas, and
other minerals or for providing services to those
engaged in such extraction, production, or exploration
is acquired or used through a transaction
entitled lease, rental, lease-purchase, or any similar
name which for purposes other than sales
taxation might be considered a conditional sale
contract or a transaction in lieu of sale, such
acquisition or use shall be deemed to be a sale for
state and local sales tax purposes.
B. The tax due on such transactions shall be
payable in equal monthly installments over the
54 August 2001