Louisiana Revised Statutes 39:467 – Sales of services and tangible personal property at a publicly owned domed stadium facility or baseball facility; sales and use tax; exemptions
Terms Used In Louisiana Revised Statutes 39:467
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Personal property: All property that is not real property.
A. Definitions. For purposes of this Chapter the following terms and phrases shall have the following meanings:
(1) “Event” means any event, large scale bid-upon event, activity, or enterprise, excluding a trade show.
(2) “Large scale bid-upon event” means the instance when a nonprofit organization, located in a parish with a population of more than two hundred fifty thousand, whose mission is to bid upon, contract and manage large scale sporting and entertainment events on behalf of the state of Louisiana, has bid upon or been awarded an event which may have a bid requirement of a waiver of taxes or a waiver of all tax has been offered as an enhancement to significantly increase the probability of awarding the event to Louisiana.
(3) “Locally or university-owned domed facility” means a domed arena facility and adjacent and connected facilities which are under the jurisdiction of any political subdivision or any commission of such political subdivision if the domed arena facility on such property has a seating capacity of at least twelve thousand five hundred and is located within a parish with a population of more than one hundred eighty-five thousand according to the most recent federal decennial census, or the publicly owned property on which the facilities are located.
(4) “Sales” means sales of taxable services and tangible personal property at an event at a locally or university-owned domed facility, a state-owned domed facility or baseball facility, or any other facility owned and operated by or for the state, or any of its agencies, boards, or commissions, or by any political subdivision or on the publicly owned property on which the facility is located, or as provided in Subsection G of this Section.
(5) “State-owned domed facility or baseball facility” means a public facility or site that is owned and operated by or for the state, or any of its agencies, boards, or commissions and is located within a body politic and corporate and political subdivision of the state composed of more than one parish and that meets any of the following criteria:
(a) A domed facility which has a seating capacity of at least seventy thousand, or the publicly owned property on which the facility is located.
(b) A domed facility which has a seating capacity of at least twelve thousand five hundred, or the publicly owned property on which the facility is located.
(c) An open baseball site, or the property on which the site is located, which site has a seating capacity of at least seven thousand five hundred, and has a professional sports franchise that participates in Class Triple-A professional baseball.
(6) “Trade show” means a trade show or other event at which the sale of goods is the primary purpose of the event.
B. State-owned facility. (1) Sales occurring for or at an event at a state-owned domed facility or baseball facility shall be exempt from sales and use taxes imposed by the state and political subdivisions as follows:
(a) Admission tickets to athletic contests or any large scale bid-upon events or any other events allowed under an existing lease or extension thereof, including for such contests and events where sales tax obligations created on or after April 1, 2016, were absorbed and the outstanding tax has yet to be remitted, sold in either of the following:
(i) The primary ticket market.
(ii) Secondary market ticket sales by a nonprofit host organization whose mission is to bid upon, contract, and manage large scale sporting and entertainment events on behalf of the state of Louisiana.
(b) Any sale, service, or other transaction, including the sale of parking, and for purposes of a state-owned baseball facility parking on adjacent property under the same jurisdiction, such sales occurring in the facility in connection with athletic contests or any large scale bid-upon events or any other events allowed under an existing lease or extension thereof.
(c) Sales of goods from a team merchandise store at the facility.
(d) Fifty percent of the cost price of admission tickets to events, activities, or enterprises other than tickets to athletic contests or any large scale bid-upon events, including for such contests and events where sales tax obligations created on or after April 1, 2016, were absorbed and the outstanding tax has yet to be remitted, wherever sold.
(e) Tours of the facility.
(f) The full price of admission on tickets for nonathletic events and any sale, service, or other transaction, including the sale of parking, relating to such nonathletic events, if the event was bid upon, awarded, or under contract on or before September 1, 2016.
(2) Disposition of state tax proceeds. Of the monies remaining after satisfaction of the requirements of La. Const. Art. VII, § 9(B) concerning the Bond Security and Redemption Fund, and La. Rev. Stat. 47:318(A) concerning support of economic development, an amount equal to thirty percent of the proceeds of the tax imposed under La. Rev. Stat. 47:321 on sales occurring for or at the state-owned domed facility described in Subparagraph (A)(5)(a) of this Section shall be allocated one-half to the Jimmy D. Long, Sr. Louisiana School for Math, Science, and the Arts, and one-half to the New Orleans Center for Creative Arts. All monies remaining thereafter shall be deposited into the state general fund. For purposes of this allocation, on the last day of November of each year the secretary of the Department of Revenue shall provide to the chairman of the Joint Legislative Committee on the Budget and the commissioner of administration an official estimate of the amount of state revenues received within the previous twelve months which were derived from the tax imposed pursuant to La. Rev. Stat. 47:321 from sales for or at the state-owned domed facility described in Subparagraph (A)(5)(a) of this Section. The estimate shall be utilized by the commissioner of administration in the preparation of the following year’s executive budget in which a recommendation shall be made to appropriate such amounts as may be necessary to provide for this allocation.
(3) Disposition of local tax proceeds from event sales at a state-owned domed facility.
(a) If the local sales and use tax proceeds were derived from event sales at a facility located on the property of a public postsecondary educational institution located in the parish, all such tax proceeds shall be distributed to that institution. This provision shall not apply to the Baton Rouge River Center or the Cajundome and Convention Center.
(b) After satisfaction of the requirements of Subparagraph (a) of this Paragraph, of the total remaining local sales and use tax proceeds in a parish having a population in excess of three hundred twenty thousand and less than four hundred thousand persons as of the latest federal decennial census, which proceeds were derived from event sales at a state-owned domed facility subject to the provisions of this Section, an amount equal to twenty percent shall be distributed to the New Orleans Council on Aging. Monies to satisfy this dedication shall be derived proportionately from the sales and use tax distributions for the following purposes: fifty percent from the Orleans Parish School Board, and fifty percent from the Regional Transit Authority.
(c) After satisfaction of the requirements of Subparagraph (a) of this Paragraph, of the total remaining local sales and use tax proceeds derived from event sales at the Angola State Penitentiary Prison Rodeo, an amount equal to sixty-six percent shall be allocated to the West Feliciana Parish School Board, and an amount equal to thirty-four percent shall be allocated to the West Feliciana Council on Aging.
C. Locally or university-owned domed facility. For purposes of state sales and use taxes, the following exemptions shall apply to sales occurring at an event at a locally or university-owned domed facility:
(1) Admission tickets to athletic contests or any large scale bid-upon events sold in either of the following:
(a) The primary ticket market.
(b) Secondary market ticket sales by a nonprofit host organization.
(2) Any sale, service, or other transaction occurring in such facility, including the sale of parking on adjacent property under the same jurisdiction, in connection with athletic contests or any large scale bid-upon events.
(3) Sales of goods from a team merchandise store at the facility.
(4) Fifty percent of the cost price of admission tickets to events, activities, or enterprises other than tickets to athletic contests or any large scale bid-upon events, wherever sold.
(5) Tours of the facility.
(6) The full price of admission on tickets for nonathletic events if the event was bid upon, awarded, or under contract on or before September 1, 2016.
D. The exemptions established in this Section shall apply to any event, activity, or enterprise held in conjunction with athletic events or any large scale bid-upon event or other event allowed under an existing lease or an extension thereof, inclusive of activities within and adjacent to the facility to which the exemptions apply.
E. The exemptions established in this Section shall not extend to any sale of services or tangible personal property not specifically provided for in this Section.
F. The provisions of this Section shall not be interpreted as either imposing or rendering the following activities subject to the imposition of any state or local tax:
(1) Sales of admission tickets and parking for intercollegiate athletic events sponsored or promoted by a Louisiana-based college or university, including any conferences, leagues, and associations in which they participate, and a nonprofit corporation affiliated with such college or university.
(2) Sales of admission tickets and parking for high school athletic events sponsored or promoted by a Louisiana high school, including any conferences, leagues, and associations in which they participate.
(3) Sales of admission tickets and parking for youth sports events sponsored or promoted by a Louisiana-based youth sports league or association.
G. Notwithstanding any provision of law to the contrary, for purposes of state and local sales and use taxes, the exemptions provided in Subsection B of this Section shall apply to sales for or at a regularly scheduled major annual sporting event when the income taxes attributable to the nonresident professional athletes participating in the event are dedicated to the Sports Facility Assistance Fund in accordance with the provisions of La. Rev. Stat. 39:100.1.
H. Notwithstanding any provision of law to the contrary, including any contrary provisions of La. Rev. Stat. 47:302(X) and (Y) as enacted by Act No. 25 of the 2016 First Extraordinary Session of the Legislature, La. Rev. Stat. 47:321(L) and (M), La. Rev. Stat. 47:321.1(F), or La. Rev. Stat. 47:331(S) and (T), and except as otherwise specifically provided for in Subparagraphs (B)(1)(a), (d), and (f) and Paragraph (C)(6) of this Section, the exemptions from state sales and use taxes authorized in this Section shall be applicable and effective on and after April 1, 2016.
Acts 1985, No. 2, §1, eff. May 23, 1985; Acts 2005, No. 391, §1, eff. Aug. 1, 2005; Acts 2009, No. 464, §1, eff. July 1, 2009; Acts 2016, 2nd Ex. Sess., No. 13, §1, eff. June 28, 2016; Acts 2017, No. 374, §4, eff. June 23, 2017.
NOTE: See Acts 2016, 2nd Ex. Sess., No. 13, §2, re: applicability.