§ 82-91. Levy.

There is hereby levied from and after July 1, 1961, for the purposes stated in the proposition set forth in the preamble to Ordinance No. 593 of the city, a tax upon the sale at retail, the use, the lease or rental, the consumption and storage for use or consumption of tangible personal property and on sales of services within the city, as defined in this article (sometimes referred to in this article as the "tax"), and the levy of such tax shall be as follows:

(1)

At the rate of one percent of the cost price of each item or article of tangible personal property when sold at retail in the city, the tax to be computed on gross sales for the purpose of remitting the amount of tax due the city, and to include each and every retail sale.

(2)

At the rate of one percent of the cost price of each item or article of tangible personal property when the item or article is not sold, but is used, consumed, distributed or stored for use or consumption in the city; provided there shall be no duplication of the tax.

(3)

At the rate of one percent of the gross proceeds derived from the lease or rental of tangible personal property, as defined in this article, where the lease or rental of such property is an established business or part of an established business or the lease or rental is incidental or germane to the business.

a.

Sales or use tax paid to the city on the purchase of new motor trucks and new motor tractors licensed and registered for 12,000 pounds or more under the provisions of this article, and new trailers and new semitrailers licensed and registered for 16,000 pounds or more under the provisions of this article, for rental may be deducted as a credit against the tax due on the rental of that item of property so that no tax is payable on rental income until the tax paid on the purchase price has been exceeded. Sales taxes paid to another city on the purchase price of property is not deductible from the tax subsequently due on the rental of such property in this city. Property imported by the lessee for use in this city that has been previously used by him in another city is not subject to any tax on the value when imported, but is only subject to the tax that applies on rental payments.

b.

Any sales tax paid on any maintenance or operation expense of rental business is not deductible as a credit against the tax due on rental income; such expenses are part of the cost of doing business and do not constitute a part of the cost of the identical property being rented.

c.

If the tax on rental income fails to exceed the credits for sales or use tax paid, no refund is due the purchaser.

d.

A Louisiana dealer who ordinarily purchases personal property for sale and who withdraws a piece of property from stock for rental is not liable for a sales or use tax on the purchase price of the property when withdrawn from stock. Such person is liable only for the tax applicable on the rental income.

(4)

At the rate of one percent of the monthly lease or rental price paid by a lessee or rentee, or contracted or agreed to be paid by a lessee or rentee, to the owner of the tangible personal property.

(5)

At the rate of one percent of the gross proceeds derived from the sale of service, as defined in this article.

(City Code 1965, § 21-31)