Louisiana – Exemption for Purchases Made by Radiation Therapy Facilities

SALT Report 1339 – The Louisiana Department of Revenue released an information bulletin regarding radiation therapy treatment centers. La. R.S. 47:305.64 provides a sales and use tax exemption for qualifying radiation therapy treatment centers for purchases, leases, or repairs of capital equipment.

The statute defines capital equipment as tangible personal property that is used in the diagnosis or treatment of cancer patients. These items included:

  • Linear accelerators,
  • PET/CT scanners
  • Imaging devices, and
  • Software necessary to operate the capital equipment
When originally enacted, the statute provided the following two definitions for a qualifying radiation therapy center:
  • A radiation therapy center that is a nonprofit organization that maintains a joint accreditation with a state university by the Commission on Accreditation of Medical Physics Educational Programs, Inc. for a graduate medical physics program and provides facilities and personnel for use for a joint CAMPEP-accredited graduate medical physics program for research, teaching, and clinical training for graduate students; and
  • The Biomedical Research Foundation in Shreveport

However, Act 296 of the 2011 Regular Session of the Louisiana Legislature adds a third category:

  • A radiation therapy facility which, no later than August 1, 2011, employs six or more medical physicists to provide radiation therapy treatment services

For Further Information:

Louisiana Department of Revenue – Revenue Information Bulletin No. 12-007