Important Note: The Special Session of the 2016 Louisiana Legislature changed the exemptions for equipment. From April 1 -June 30, 2016, it will be 2% on the purchase price after the first $50,000. After July 1 it will be 1%.
For purchases of parts, lubricants, belts and oils used the the logging business it will be 5% from April 1 - June 30, 2016 and then will be 3%.
Loggers must apply to Louisiana Department of Revenue for Certification as a Manufacturer to claim 100% exclusion from state sales tax on purchases of equipment. Loggers must have the current form; the old document will not be accepted.
Loggers and forest products industry need to complete the Application for Certification as a Manufacturer for the purpose of Sales/Use Tax Exclusion from the Louisiana Department of Revenue. Beginning October 1, 2009, Department of Revenue required the equipment seller to hold a copy of this certificate from the purchaser before granting any state sales tax exemption. Local sales taxes may still be collected. The equipment seller could be liable for the sales tax if he can’t produce a copy of the buyer’s Exemption Certificate.
Loggers and forest products industry can access the form by going to www.revenue.louisiana.gov/Forms/ForBusiness, click Tax Forms, scroll down under Tax Exemption and find R- 1070 and click Forms and Instructions. (Or use this link: Applications for Exemption)
Logging and forest industry equipment are completely exempt from state sales tax with the proper certification certificate from the Department of Revenue.
Be sure you have this certificate before you try buying a piece of equipment