La. R.S. 47:301.1 — Telecommunications and ancillary services

A. The sales and use tax levied by this Chapter shall apply to the sales price of
telecommunications services in accordance with the following sourcing rules:
(1) Except as otherwise provided in Paragraph (4) of this Subsection,
telecommunications services sold on a call-by-call basis shall be subject to the tax imposed
by this Chapter if either of the following occur:
(a) The call both originates and terminates in this state.
(b) The call either originates in this state or terminates in this state, and the service
address associated with the call is located in this state.
(2) Except as otherwise provided in Paragraph (4) of this Subsection,
telecommunications services sold on a basis other than a call-by-call basis shall be subject
to the tax imposed by this Chapter if the telecommunications service is charged to a customer
whose place of primary use is in this state.
(3) Except as otherwise provided in Paragraph (4) of this Subsection, mobile
telecommunications services provided by a customer's home service provider shall be subject
to the tax imposed by this Chapter if the customer's place of primary use is in this state.
(4) Notwithstanding the provisions of Paragraphs (1), (2), and (3) of this Subsection,
the following rules apply:
(a) Air-to-ground radio telephone services shall be subject to the tax imposed by this
Chapter if the customer's place of primary use is located in this state.
(b) Postpaid calling services shall be subject to the tax imposed by this Chapter if the
origination point of the telecommunications signal is located in this state, as first identified
by either of the following:
(i) The seller's telecommunications system.
(ii) Information received by the seller from its service provider, where the system
used to transport such signals is not that of the seller.
(c) With respect to private communication services, the tax imposed by this Chapter
shall apply to:
(i) Any separate charge for a specific channel termination point located in this state.
(ii) Any separate charge for the use of a channel that is exclusively between two
channel termination points located in this state.
(iii) Where channel termination points of a channel are located both within and
outside this state:
(aa) Fifty percent of any separate charge for a segment of a channel between two
such channel termination points.
(bb) To the extent that the charge for any segment or segments of a channel is not
separately billed, an amount equal to the total charge for such channel segment or segments
multiplied by a fraction, the numerator of which is the number of channel termination points
located in this state and the denominator of which is the total number of channel termination
points.
B.(1) The sales price of telecommunications services shall include, whether or not
separately stated, charges for any of the following:
(a) The connection, movement, change, or termination of telecommunications
services.
(b) Conference bridging services and vertical services if the customer's place of
primary use is located in this state.
(2) The sales price of telecommunications services shall not include charges for any
of the following:
(a) The furnishing of any telecommunications service for resale, including access and
other interconnection charges paid by providers of telecommunications services and charges
for the use of intercompany facilities pursuant to shared network facility arrangements,
provided that any dealer making a sale of telecommunications services for resale shall obtain
a certificate from the purchaser of such services certifying that such services are purchased
for the purpose of resale, the form of the certification to be determined by rules and
regulations to be promulgated by the secretary.
(b) Any excise, franchise, or similar tax or like fee or assessment levied by the
United States, by the state of Louisiana, or by any political subdivision as defined in Article
VI, Section 44 of the Constitution of Louisiana, upon the purchase, sale, use, or consumption
of any telecommunications service, which tax, fee, or assessment is collected by the seller
from the purchaser.
(c) Telecommunications services or transactions defined in this Paragraph among
entities classified as members of an affiliated group as provided by 26 U.S.C. 1504,
provided, however, that these provisions shall not apply to any sale of tangible personal
property.
(d) Any other property or services that are not telecommunications services if stated
separately from the charges for telecommunications services.
(e, f) Repealed by Acts 2024, 3rd Ex. Sess., No. 11, §4, eff. Dec. 4, 2024.
C. The following provisions apply to the furnishing of mobile telecommunications
services:
(1) The home service provider shall be responsible for obtaining and maintaining the
customer's place of primary use.
(a) If the home service provider's reliance on information provided by its customer
is in good faith, it shall be entitled to rely on the applicable residential or business street
address supplied by the customer as the place of primary use unless a taxing jurisdiction or
the state has given the home service provider a notice of determination as set forth in
Subparagraph (c) or (d) of this Paragraph.
(b) If the home service provider's reliance on information provided by its customer
regarding the customer's place of primary use is in good faith, it shall not be liable for any
additional taxes, charges, or fees based on a different determination of the place of primary
use for taxes, charges, or fees that are customarily passed on to the customer as a separate,
itemized charge unless a taxing jurisdiction or the state has given the home service provider
a notice of determination as set forth in Subparagraphs (c) or (d) of this Paragraph.
(c) A taxing jurisdiction, or the state on behalf of any taxing jurisdiction or taxing
jurisdictions within the state, may determine that the address used for purposes of
determining the taxing jurisdictions to which taxes, charges, or fees for mobile
telecommunications services are remitted does not meet the definition of place of primary
use and give binding notice to the home service provider to change the place of primary use
on a prospective basis from the date of notice of determination. However, if the taxing
jurisdiction making such determination is not the state, such taxing jurisdiction shall obtain
the consent of all affected taxing jurisdictions within the state and shall give the customer
an opportunity to demonstrate in accordance with applicable state or local tax, charge, or fee
administrative procedures that the address is the customer's place of primary use before
giving such notice of determination.
(d) A taxing jurisdiction, or the state on behalf of any taxing jurisdiction or taxing
jurisdictions within the state, may determine that the assignment of a taxing jurisdiction by
a home service provider under Subparagraph (a) of this Paragraph does not reflect the correct
taxing jurisdiction and give binding notice to the home service provider to change the
assignment on a prospective basis from the date of notice of determination. However, if the
taxing jurisdiction making the determination is not the state, it must obtain the consent of all
affected taxing jurisdictions within the state and give the home service provider an
opportunity to demonstrate in accordance with applicable state or local tax, charge, or fee
administrative procedures that the assignment reflects the correct taxing jurisdiction before
giving such notice of determination.
(e) If a customer believes that an amount of tax or assignment of place of primary
use or taxing jurisdiction included on a billing is erroneous, before seeking any other remedy
the customer shall notify the home service provider in writing. The customer shall include
in this written notification the street address for his place of primary use, the account name
and number for which the customer seeks a correction of the tax assignment, a description
of the error asserted by the customer, and any other information that the home service
provider reasonably requires to process the request. Within sixty days of receiving a notice
under this Section, the home service provider shall review its records and the electronic
database or enhanced zip code used to determine the customer's taxing jurisdiction. If this
review shows that the amount of tax, assignment of place of primary use, or taxing
jurisdiction is in error, the home service provider shall correct the error and refund or credit
the amount of tax erroneously collected from the customer for a period of up to two years.
If this review shows that the amount of tax, assignment of place of primary use, or taxing
jurisdiction is correct, the home service provider shall provide a written explanation to the
customer.
(f) If the customer is dissatisfied with the response of the home service provider
required under this Section, the customer may seek a correction or refund from the taxing
jurisdiction affected.
(2)(a) Notwithstanding any provision of law to the contrary, if a mobile
telecommunications service is not subject to the tax imposed by this Chapter or taxes levied
by other taxing jurisdictions, and if the amount paid or charged for such mobile
telecommunications service is aggregated with and not separately stated from the amount
paid or charged for any service that is subject to such taxes, then the nontaxable mobile
telecommunications service shall be treated as being subject to such taxes unless the home
service provider can reasonably identify the amount paid or charged for the mobile
telecommunications service not subject to such taxes from its books and records kept in the
regular course of business.
(b) Notwithstanding any provision of law to the contrary, if a mobile
telecommunications service is not subject to the taxes levied by the state or by other taxing
jurisdictions, a customer may not rely upon the nontaxability of such mobile
telecommunications service unless the customer's home service provider separately states the
amount charged for the nontaxable mobile telecommunications service or the home service
provider elects, after receiving a written request from the customer in the form required by
the provider, to provide verifiable data based upon the home service provider's books and
records that are kept in the regular course of business that reasonably identifies the amount
charged or paid for the nontaxable mobile telecommunications service.
D. To prevent actual multistate taxation of an interstate telecommunications service
subject to the tax imposed by this Chapter and Chapters 2-A and 2-B of this Subtitle, any
taxpayer, upon proof that the taxpayer has paid a tax in another state on the service, shall be
allowed a credit against the tax imposed by this Chapter and Chapters 2-A and 2-B of this
Subtitle to the extent of the amount of the tax paid in the other state.
E. Notwithstanding any provision of law to the contrary, after allocation of monies
to the Bond Security and Redemption Fund as required by Article VII, Section 9(B) of the
Constitution of Louisiana, from the avails of the sales tax on telecommunication services
there shall be an annual dedication of one million dollars to be deposited into the
Telecommunications for the Deaf Fund for use as provided in R.S. 47:1061(B).
F.(1) Local political subdivisions shall be prohibited from levying a sales and use tax
on telecommunications services not in effect on July 1, 1990. However, the provisions of
this Paragraph shall not be construed to prohibit the levy or collection of any franchise,
excise, gross receipts, or similar tax or assessment by any political subdivision of the state
as defined in Article VI, Section 44 of the Constitution of Louisiana.
(2) There is hereby levied an additional state sales and use tax upon all
telecommunications services, cable television services, direct-to-home satellite services,
video programming services, provided by cable television and satellite service providers, and
satellite digital audio radio services in this state, at the rate of five percent of the amounts
paid or charged for such services.
(3) The tax levied pursuant to this Subsection shall be paid in lieu of any sales or use
tax that would otherwise be levied and collected by a political subdivision of this state.
(4) The taxes levied pursuant to this Subsection shall be administered and collected
by the secretary of the Department of Revenue. The secretary shall assess an administration
and collection fee, not to exceed one percent of the collections of the tax, as reimbursement
for the actual cost of collection of the tax.
(5) The tax levied in this Subsection shall be collected from the dealer, as defined
in this Chapter, shall be paid at the time and in the manner hereinafter provided, and shall
be in addition to all other taxes, whether levied in the form of excise, license, or privilege
taxes, and shall be in addition to taxes levied pursuant to the provisions of Chapter 3 of this
Subtitle.
(6) After allocation to the Bond Security and Redemption Fund as provided in
Article VII, Section 9(B) of the Constitution of Louisiana, the treasurer shall deposit in and
credit to the Local Revenue Fund the avails of the taxes collected under this Subsection.
Acts 2007, No. 358, §1, eff. Aug. 1, 2007; Acts 2013, No. 300, §1, eff. July 1, 2013;
Acts 2024, 3rd Ex. Sess., No. 11, §§2, 4 eff. Dec. 4, 2024; Acts 2025, No. 384, §3, eff. June
20, 2025.