East Baton Rouge Parish approves sales tax rebates for event promoters

A new legislative proposal, House Bill 296, is set to reshape the financial landscape for event promoters in East Baton Rouge Parish. Introduced on April 2, 2025, the bill aims to authorize the local governing authority to rebate sales tax revenue collected from admission tickets, concessions, and parking at qualifying events, a move that could significantly boost the local events industry.

Under current law, rebates are limited to taxpayers and require the approval of the Baton Rouge tourism commission, Visit Baton Rouge. However, HB 296 seeks to redefine the term "rebate" to mean payments directly to event promoters, effectively shifting the financial benefits from attendees to organizers. This change is expected to incentivize larger events, particularly those held in publicly owned venues with a seating capacity of at least 7,500 or multi-day events with an average daily attendance of the same number.

Supporters of the bill argue that this financial support will enhance the attractiveness of Baton Rouge as a destination for major events, potentially leading to increased tourism and economic growth. "By providing these rebates directly to promoters, we can encourage more large-scale events that will draw visitors and stimulate our local economy," said Representative Freiberg, the bill's sponsor.

However, the proposal has sparked debate among local stakeholders. Critics express concerns that the shift in rebate distribution could undermine the original intent of supporting local taxpayers and may lead to a disproportionate focus on larger events at the expense of smaller community gatherings. Additionally, there are questions about the long-term fiscal implications for the parish's budget.

As the bill moves through the legislative process, its potential to reshape the event landscape in East Baton Rouge Parish remains a hot topic. If passed, HB 296 could pave the way for a new era of event promotion, with significant implications for local businesses and tourism. The next steps will involve further discussions and potential amendments as lawmakers weigh the benefits against the concerns raised by the community.