La. R.S. 47:305.50 — Exemption; vehicles used in interstate commerce; rail rolling stock; railroad ties

A.(1) The sales and use tax imposed by the state of Louisiana or any of its local
political subdivisions shall not apply to trucks with a gross weight of twenty-six thousand
pounds or more and to trailers if such trucks and trailers are used at least eighty percent of
the time in interstate commerce and whose activities are subject to the jurisdiction of the
United States Department of Transportation. The determination of whether a truck is used
at least eighty percent of the time in interstate commerce shall be based solely on the actual
mileage of such truck; however, no truck shall have more than twenty percent Louisiana
intrastate miles.
(2)(a) The sales and use tax imposed by the state or any of its political subdivisions
shall not apply to the purchase, use, or lease of a qualifying truck or to the purchase, use, or
lease of a qualifying trailer purchased, imported, or leased, with or without a qualifying
truck, for use with a qualifying truck.
(b) For purposes of this Paragraph, a qualifying truck shall meet the following
requirements:
(i) Be registered in Louisiana as a Class 1 vehicle as defined in R.S. 47:462 and shall
have a registered gross weight as defined in R.S. 47:451 of at least eighty thousand pounds.
(ii) Be subject to the jurisdiction of the United States Department of Transportation.
(iii) Will be registered or is registered with apportioned plates through the
International Registration Plan or will be issued or is issued a special permit according to the
provisions of R.S. 32:387(J) from the Louisiana Department of Transportation and
Development. In cases of issuance of a special permit pursuant to the provisions of R.S.
32:387(J), the qualifying truck shall engage in no less than two hundred intermodal container
moves per year regardless of whether such moves require a special permit. In the year of
acquisition, sale, disposal, or destruction of the qualifying truck, the intermodal container
moves per year requirement shall be prorated for the portion of the year the qualifying truck
was owned, operated, or owned and operated by the taxpayer.
(c) For purposes of this Paragraph, a qualifying trailer shall be a trailer which is
subject to the jurisdiction of the United States Department of Transportation.
(3) The secretary shall promulgate rules and regulations in accordance with the
Administrative Procedure Act, subject to oversight by the House Ways and Means
Committee and the Senate Revenue and Fiscal Affairs Committee, to implement the
provisions of this Subsection, including rules and regulations providing for the
administration of audits, audit procedures, and the documents a taxpayer must retain in order
to document the tax exemption authorized by this Subsection.
(4) Notwithstanding the provisions of any other law to the contrary, prior to the
commencement of an audit or investigation for purposes of determining the correct amount
of the tax exemption, and prior to an examination or investigation of the place of business
and the books, records, papers, vouchers, accounts, and documents of any taxpayer, the
auditor shall submit written justification of such audit or investigation to the secretary of the
Department of Revenue. The secretary shall approve the scope of action of the department.
No audit or investigation shall proceed without approval by the secretary. However, there
shall be no approval from the secretary necessary for a political subdivision to audit,
examine, or investigate for the purpose of determining the correct amount of the tax
exemption.
(5) During a gubernatorially declared state of emergency, if the declared emergency
or related relief efforts of a taxpayer who is eligible for an exemption according to the
provisions of this Subsection undermines the ability of such taxpayer to comply with the
provisions of this Subsection, the secretary shall waive the requirements of this Subsection.
(6) For purposes of this Subsection, the terms "trucks" and "trailers" shall have the
meanings ascribed to the terms truck, trailer, road tractor, semitrailer, tandem truck, tractor,
and truck-tractor in R.S. 47:451.
B. The deputy secretary of public safety services of the Department of Public Safety
and Corrections may promulgate forms and rules in accordance with the Administrative
Procedure Act necessary to implement the provisions of this Section.
C.(1) The sales and use tax imposed by the state of Louisiana or any of its local
political subdivisions or statewide taxing authorities shall not apply to rail rolling stock sold
or leased in this state.
(2) The sales and use tax imposed by any taxing authority shall not apply to parts or
services used in the fabrication, modification, or repair of rail rolling stock.
D. The sales and use tax imposed by the state, its statewide taxing authorities, or any
of its political subdivisions shall not apply to the "sales price" or "cost price" of railroad ties
that a railroad purchases prior to long-term preservative treatment and installs into the
railroad's track system outside the taxing jurisdiction of the respective taxing authority,
whether it be the state, a statewide taxing authority, or a political subdivision.
E,F. Repealed by Acts 2024, 3rd Ex. Sess., No. 11, §4, eff. Dec. 4, 2024.
Acts 1996, No. 8, §1, eff. July 1, 1996; Acts 1996, No. 36, §1, eff. July 1, 1996; Acts
1998, No. 41, §1, eff. June 30, 1998; Acts 2000, No. 27, §1, eff. June 30, 2000; Acts 2002,
No. 2, §1, eff. June 30, 2002; Acts 2004, 1
st
Ex. Sess., No. 10, §1, eff. June 30, 2004; Acts
2005, No. 397, §1, eff. July 1, 2005; Acts 2007, No. 209, §1, eff. June 29, 2007; Acts 2009,
No. 442, §1, eff. July 1, 2009; Acts 2024, 3rd Ex. Sess., No. 11, §§2, 4, eff. Dec. 4, 2024;