§305.57. Exemptions; sale of artwork

            A. The sales and use taxes imposed by the state of Louisiana or any of its political subdivisions shall not apply to the sale of original, one-of-a-kind works of art from an established location within the boundaries of a cultural product district.

            B. For purposes of this Section, the following phrases shall have the following meanings:

            (1) "Cultural product district" shall mean a district designated by a local governing authority in accordance with law for the purpose of revitalizing a community by creating a hub of cultural activity, including affordable artist housing and work space. The Department of Culture, Recreation and Tourism shall develop standard criteria for cultural product districts. Such criteria shall include that the district shall be geographically contiguous and distinguished by cultural resources that play a vital role in the life and cultural development of a community. The district shall focus on a cultural compound, a major art institution, art and entertainment businesses, an area with arts and cultural activities or cultural or artisan production and be engaged in the promotion, preservation, and educational aspects of the arts and culture of the locale, and contribute to the public through interpretive and educational uses. The Department of Culture, Recreation and Tourism may determine whether or not a district complies with this definition.

            (2) "Digital art" shall mean digitally created content including but not limited to a picture, video, or song to which ownership can be proven through use of blockchain or another similar mechanism.

            (3) "Works of art" shall mean visual arts and crafts including but not limited to paintings, photographs, sculpture, pottery, digital art, and traditional or fine crafts. The Department of Culture, Recreation and Tourism may determine whether or not an item meets this definition as well as whether the item is "original, one-of-a-kind" work.

            C.(1) The local governing authority shall prepare a written report to be submitted to the Department of Culture, Recreation and Tourism by January 1, 2011, and every second year thereafter, outlining the overall impact of the tax exemptions on their community, the amount of tax-exempt art sales, and any other factors that describe the impact of the program.

            (2) The Department of Culture, Recreation and Tourism shall collate the reports received pursuant to Paragraph (C)(1) of this Subsection and submit a report to the House Committee on Ways and Means and the Senate Committee on Revenue and Fiscal Affairs no less than sixty days prior to the start of the Regular Session of the Legislature in 2011, and every second year thereafter. The report shall include the overall impact of the tax exemption, the amount of art sales, and any other factors that describe the impact of the program.

            Acts 2007, No. 298, §1; Acts 2023, No. 396, §1, eff. June 15, 2023.