Opinion ID: 1751030
Heading Depth: 1
Heading Rank: 3

Heading: Constitutionality of La.Rev.Stat. 9:2948

Text: Read together, La. Const. art. VII, §§ 20(A) and 21 provide that the only properties exempt from ad valorem taxation shall be the property subject to the homestead exemption provided in Section 20(A) and the properties specifically enumerated in Section 21. The exemptions enumerated in Section 21 do not include immovable property in the process of being purchased through a bond for deed contract. The assessor therefore contends that property purchased under a bond for deed contract, although it may be occupied by the bond for deed buyer, is not owned by the buyer until the specified portion of the purchased price is paid and the title is transferred. La.Rev.Stat. 9:2941. On the other hand, defendants contend that the Legislature in enacting La.Rev.Stat. 9:2948 did not create a new exemption from ad valorem taxes, but simply redefined ownership for purposes of bond for deed contracts or recognized a new level of ownership. Although La.Rev.Stat. 9:2948 does not contain the word exemption, the words and form used legislatively in granting an exemption are not important if, in their essence, the Legislature creates an exemption. Meyers v. Flournoy, 209 La. 812, 25 So.2d 601 (1946); In re Pitre, 93-2322 (La. 1/14/94); 630 So.2d 700 (Calogero, C.J., concurring). The Legislature perhaps could have redefined ownership in the Civil Code to include the status of a bond for deed buyer. [6] See La.Civ.Code art. 477. However, the Legislature did not do so. Rather, the Legislature enacted a special statute defining ownership solely for the purpose of the homestead exemption, and thereby indirectly established an exemption from ad valorem taxes for bond for deed buyers. This indirect exemption violates La. Const. art. VII, §§ 20 and 21, which provide that property subject to the homestead exemption for property owners under Section 20 and property listed in Section 21, and no other, shall be exempt from ad valorem taxation. Immovable property subject to a bond for deed contract is not listed in Section 21, and that same section clearly denies the Legislature the power to enact any other exceptions from ad valorem taxation, directly or indirectly. The trial court correctly declared La.Rev.Stat. 9:2948 unconstitutional as violative of La. Const. art. VII, §§ 20 and 21. Accordingly, the judgment of the trial court declaring La.Rev.Stat. 9:2948 unconstitutional is affirmed. WATSON, J., dissents, believing the assessor lacks standing to sue.