House Bill No. by Representative Fontenot proposes an increase in the excise tax rate on consumable hemp products sold in Louisiana. The bill amends R.S. 47:1693(A) to change the current tax rate from 3% to 15% of the retail sales price of these products. This excise tax will be in addition to any state and local sales and use taxes or other applicable taxes. Retailers will be required to report and pay this tax monthly, following the prescribed forms by the secretary.

The provisions of this bill will take effect for taxable periods beginning on or after July 1, 2025. If the bill is vetoed by the governor but later approved by the legislature, it will still become effective on July 1, 2025, or the day following such approval, whichever is later. The bill retains the existing definitions and regulations surrounding consumable hemp products while significantly increasing the tax burden on their sale.

Statutes affected:
HB187 Original: 47:1693(A)