House Bill No. by Representative Wright proposes to amend the existing sales and use tax exemptions related to ships and their supplies in Louisiana. The bill extends the current exemptions to include certain digital products, specifically prewritten computer software access services and information services, which are utilized in the maintenance and operation of vessels. The language of the bill modifies existing references from "materials and supplies" to "tangible personal property" and explicitly includes digital products in the definition of "component parts" that can be incorporated into or attached to vessels during construction or repair.

The proposed changes aim to modernize the tax exemptions to reflect the evolving nature of goods and services used in maritime operations. The bill retains the existing exemptions for materials, equipment, and machinery related to vessels built in Louisiana, as well as for supplies used by operators of vessels engaged in foreign or interstate commerce. The effective date for these changes is set for July 1, 2025.

Statutes affected:
HB626 Original: 47:1(A)