Tax Facts Index
EAST BATON ROUGE PARISH
|Department of Finance
Vol. 10, No. 2
Hotel/Motel SalesTax Exemption for Governmental Employees
Beginning January 1, 1999, the rental of hotel/motel rooms to
government employees on government business in this parish were exempted from local sales
and use taxes.
This office will require the guest claiming the exemption to
follow existing procedural rules as defined by the Louisiana Department of Revenue and
present an executed "Certificate of Government Exemption" at the time of
Currently, the tax rate for hotel/motel rooms in East Baton Rouge
Parish is 12.41%, which consists of a 4% State of Louisiana sales tax, a 4.41% local sales
tax and a 4% hotel/motel occupancy tax.
Effective January 1, 1999, hotels/motels should charge only the 4%
hotel/motel occupancy tax on rooms rented to authorized government employees who present
the certificate mentioned above. The state and local sales tax totaling 8.41% should not
be collected on these transactions. The additional School Board sales tax which became
effective April 1, 1999, will also not apply to government employee transactions.
Hospitals and sales/use taxes
Hospitals, chemical dependency units (C.D.U.) and mental health
facilities are primarily engaged in the business of furnishing non-taxable services.
However, they are consumers or users of all tangible personal property purchased for use
or consumption in connection with the operation of the institution and sales of such
tangible personal property to them are taxable. Purchases of the following tangible
personal property are exempt only from the 1/2% Sewer Improvement tax, the 1/2% Street
Improvement tax, and the .41% Educational Facilities Improvement District tax.
1. Purchases of drugs, medicine or ingredients thereof, and ostomy,
ileostomy or colostomy devices.
2. Effective January 1, 1998, purchases of orthotic and prosthetic
devices, medical devices, and patient aids.
Purchases of food to be used for the preparation of patient and staff
meals were no longer subjected to any portion of the local sales/use tax beginning January
Meals sold by schools, hospitals, and certain other entities
Public school boards, high school boards, churches, hospitals,
religious organiza tions, colleges, universities or private schools operating lunch
rooms, cafeterias or dining rooms for the exclusive purpose of providing only their
respective students, members, staff, or patients with meals are deemed not to be engaged
in the business of selling tangible personal property at retail and are not liable for
payment of the sales tax with respect to such transactions. Purchases of food products by
such institutions are exempt from local sales and use taxes.
When any cafeteria, lunch or dining room makes sales to the general
public, the school, hospital, college, church, university, or religious organization
operating it is deemed to be in the business of selling tangible personal property at
retail and is liable for the sales tax on these sales of such meals. The school, hospital,
college, church, university, or religious organization in this case may provide a resale
certificate to its vendors for the purchase of the food and thereby avoid paying sales tax
at the time of purchase.
Sales tax due dates
Following are the sales tax due dates for the second quarter of 1999:
Returns bearing a U.S. postmark on or after the above delinquent dates
will be assessed penalty, interest and loss of vendor's compensation. Remember to mail
your return early.
The City-Parish Department of Finance will host a tax seminar on
Friday, August 27, 1999. This seminar will address the issue of use tax and general issues
concerning sales tax. A representative of the State of Louisiana, Department of Revenue,
will also be in attendance. Anyone interested in attending should contact the Revenue
Division to pre-register. If you have a question or topic concerning sales/use tax that
you would like to see discussed, you may either fax it to this office, attention Steve
Thomas or E-Mail to email@example.com
DATE: August 27, 1999
TIME: 10:00 A.M. to 12:00 Noon
PLACE: Jones Creek Library
REGISTRATION DEADLINE: August 16, 1999
PHONE: (225) 389-3084
FAX: (225) 389-5369