La. Revenue and Taxation § 47:1678

Current with changes from the 2024 Legislative Session

Section 47:1678 - Tax clearances; resale certificates; certain procurement contracts

A. Notwithstanding any other provision of law to the contrary, no state sales tax resale certificate shall be issued or renewed for any applicant unless the applicant is current in filing all tax returns and in payment of all taxes, interest, penalties, and fees owed to the state of Louisiana.

B. Notwithstanding any other provision of law to the contrary, no contract that requires the review and approval of the central purchasing agency for the procurement of personal, professional, consulting, or social services or the purchasing of food, supplies, or major repairs shall be approved unless the chief procurement officer for the central purchasing agency has received a tax clearance from the Department of Revenue indicating the proposed contractor is current in filing all tax returns and in payment of all taxes, interest, penalties, and fees owed to the state of Louisiana. The tax clearance required by this Section shall not be required for purposes of bidding on or solicitation of a procurement contract. For purposes of this Section, the tax clearance shall be required for the approval of all procurement contracts with this state for purposes including but not limited to the following:

(1) Capital construction.

(2) Any product, good, service, or repair.

(3) Supplies, services, or major repairs, including but not limited to high technology acquisitions or of complex services.

(4) Consulting, professional, personal, and social services.

(5) Purchase or lease of property as authorized by law.

(6) Medical and laboratory supplies and medical equipment required for the purpose of diagnosis or direct treatment of a patient by a health care provider in a hospital or clinical setting, including procurement through a group purchasing organization.

C. An exception to the requirements of this Section for a procurement enumerated in Subsection B of this Section is authorized in either of the following circumstances:

(1) The state chief procurement officer or his designee if the designee is above the level of procurement officer may make or authorize others to approve a contract for emergency procurements when there exists an imminent threat to the public health, welfare, safety, or public property under emergency conditions as defined in accordance with regulations.

(2) The state chief procurement officer or his designee if the designee is above the level of procurement officer determines in writing that there is only one source for the required product, service, or major repair item.

D. This Section shall not apply to any of the following:

(1) Contracts for construction, maintenance, or repair of highways and streets or to contracts financed in whole or in part by contributions or loans from any agency of the United States government.

(2) A procurement contract of an institution of higher education or other agency of higher education if the state chief procurement officer has delegated authority to procure the contracted services using private grant funds or federal funds that are available specifically for purposes of the contract.

E. The state chief procurement officer shall provide the secretary a list of the prospective contractors that require a tax clearance for approval of a procurement contract. Such list shall be submitted to the secretary in the manner and form prescribed by the secretary. The secretary, upon receipt, shall provide the state chief procurement officer with a signed tax clearance for each applicant indicating whether the proposed contractor is current in filing all tax returns and in payment of all taxes, interest, penalties, and fees owed to the state of Louisiana, excluding items under formal appeal pursuant to applicable statutes or being paid in compliance with the terms of an installment agreement. Where an assessment against a proposed contractor has become final and collectible by distraint and sale, such proposed contractor shall not be approved for a procurement contract until such time as the proposed contractor has filed the applicable tax returns, or resolved the assessment, or paid or made arrangements to pay the delinquent tax liability and the secretary notifies the state chief procurement officer of the payment or arrangement to pay.

F. The secretary is authorized to promulgate rules and regulations in accordance with the Administrative Procedure Act as may be necessary to implement the provisions of this Section.

La. Revenue and Taxation § 47:1678

Acts 2017, No. 211, §2, eff. June 14, 2017.

Added by Acts 2017, No. 211,s. 2, eff. 6/14/2017.