Terms Used In Louisiana Revised Statutes 47:306.2

  • Cost price: means the actual cost of the articles of tangible personal property without any deductions therefrom on account of the cost of materials used, labor, or service cost, except those service costs for installing the articles of tangible personal property if such cost is separately billed to the customer at the time of installation, transportation charges, or any other expenses whatsoever, or the reasonable market value of the tangible personal property at the time it becomes susceptible to the use tax, whichever is less. See Louisiana Revised Statutes 47:301
  • Dealer: includes every person who manufactures or produces tangible personal property for sale at retail, for use, or consumption, or distribution, or for storage to be used or consumed in a taxing jurisdiction. See Louisiana Revised Statutes 47:301
  • Personal property: All property that is not real property.
  • use: include the donation of food items to a food bank as defined in La. See Louisiana Revised Statutes 47:301

A.(1)  Persons, as defined in this Chapter, engaged in the business of transporting passengers or property for hire in interstate or foreign commerce, whether by railroad, railway, automobile, motor truck, boat, ship, aircraft or other means, and who, as part of such business, transport passengers or property between points in Louisiana and points offshore outside the territorial limits of any state, may, at their option under rules and regulations prescribed by the secretary, register as dealers and pay the taxes imposed by La. Rev. Stat. 47:302(A), 321(A), and 331(A) on the basis of the formula hereinafter provided.

(2)  Such persons, when properly registered as dealers, may make purchases in this state or import property into this state without payment of the sales or use taxes imposed by La. Rev. Stat. 47:302(A), 321(A), and 331(A) at the time of purchase or importation, provided such purchases or importations are made in strict compliance with the rules and regulations of the secretary.  Thereafter, on or before the twentieth day of the month following the purchase or importation, the dealer shall transmit to the secretary, on forms secured by him, returns showing gross taxable purchases and importations of tangible personal property, the cost price of which has not previously been included in a return to the state.  The amount of such purchases and importations shall be multiplied by a fraction, the numerator of which is Louisiana mileage operated by the taxpayer and the denominator of which is the total mileage operated by the taxpayer, to obtain the taxable amount of tax basis.  This taxable amount of tax basis shall be multiplied by the tax rate to disclose the tax due.

(3)  Each such dealer, at the time of making the return required hereunder, shall remit to the secretary the tax due for the preceding calendar month as shown on the return.

B.  For the purpose of calculating the fraction set forth in Subsection A of this Section:

(1)  A unit of transportation measurement other than mileage may be used if appropriate based on industry custom and type of transportation.

(2)  Notwithstanding anything to the contrary, “Louisiana mileage” shall not include mileage in this state that is a segment or a part of a stream of trade, traffic, transportation, or movement of passengers or property between a point in this state and a point located offshore beyond the territorial limits of any state.

Acts 2005, No. 126, §1, eff. June 22, 2005.

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