HLS 11RS-1078 ORIGINAL
Page 1 of 3
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Regular Session, 2011
HOUSE BILL NO. 603
BY REPRESENTATIVE BURRELL
TAX CREDITS: Extends applicability of the tax credit for the rehabilitation of certain
residential structures and extends the tax credit to rehabilitated residential structures
located in a federal designated HUBZone
AN ACT1
To amend and reenact Section 2 of Act No. 479 of the 2005 Regular Session of the2
Legislature, as amended by Act No. 188 of the 2007 Regular Session of the3
Legislature and R.S. 47:297.6(A)(1)(introductory paragraph), relative to individual4
income tax credits; to provide relative to the tax credit for the rehabilitation of5
residential structures; to extend the tax credit to rehabilitated residential structures6
located in certain districts; to extend the taxable periods in which the tax credit for7
the rehabilitation of certain residential structures shall be applicable; to provide for8
an effective date; and to provide for related matters.9
Be it enacted by the Legislature of Louisiana:10
Section 1. Section 2 of Act No. 479 of the 2005 Regular Session of the Legislature,11
as amended by Act No. 188 of the 2007 Regular Session of the Legislature, is hereby12
amended and reenacted to read as follows:13
Section 2. This Act shall become effective and credit may be given for all14
taxable years beginning after December 31, 2005, until and including the tax years15
beginning on or before December 31, 2012 January 1, 2016.16 HLS 11RS-1078 ORIGINAL
HB NO. 603
Page 2 of 3
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
Section 2. R.S. 47:297.6(A)(1)(introductory paragraph) is hereby amended and1
reenacted to read as follows: 2
§297.6. Reduction to tax due; rehabilitation of residential structures3
A.(1) There shall be a credit against individual income tax liability due under4
this Title for the amount of eligible costs and expenses incurred during the5
rehabilitation of an owner-occupied residential or owner-occupied mixed use6
structure located in a National Register Historic District, a local historic district, a7
Main Street District, a cultural products district, a federal designated HUBZone, or8
a downtown development district, or such owner-occupied residential structure9
which has been listed or is eligible for listing on the National Register, or such10
structure which has been certified by the State Historic Preservation Office as11
contributing to the historical significance of the district, or a vacant and blighted12
owner-occupied residential structure that is at least fifty years old. The tax credit13
authorized pursuant to this Section shall be limited to one credit per structure14
rehabilitated. The total credit shall not exceed twenty-five thousand dollars per15
structure. In order to qualify for that credit, the rehabilitation costs of the structure16
must exceed twenty thousand dollars. The credit shall be calculated using the17
following percentages of the eligible costs and expenses of the rehabilitation based18
on the adjusted gross income of the owner-occupant. If the residential structure is19
owned and occupied by two or more individuals, the applicable percentage shall be20
based on the sum of the adjusted gross incomes of all owner-occupants who21
contribute to the rehabilitation, and the credit will be divided between the owner-22
occupants in proportion to their contribution to the eligible costs and expenses,23
unless they agree to an alternate division as follows:24
* * *25
Section 3. This Act shall become effective upon signature by the governor or, if not26
signed by the governor, upon expiration of the time for bills to become law without signature27
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If28 HLS 11RS-1078 ORIGINAL
HB NO. 603
Page 3 of 3
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
vetoed by the governor and subsequently approved by the legislature, this Act shall become1
effective on the day following such approval.2
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Burrell HB No. 603
Abstract: Extends applicability of the tax credit for the rehabilitation of certain residential
structures from tax years beginning on or before Dec. 31, 2012, to tax years
beginning before Jan. 1, 2016, and extends eligibility of the tax credit for
rehabilitated structures located in a federal designated HUBZone.
Present law authorizes an individual income tax credit for the amount of eligible costs and
expenses incurred during the rehabilitation of an owner-occupied residential or owner-
occupied mixed use structure located in a National Register Historic District, a local historic
district, a Main Street District, a cultural products district, or a downtown development
district, or such owner-occupied residential structure which has been listed or is eligible for
listing on the National Register, or such structure which has been certified as contributing
to the historical significance of the district, or a vacant and blighted owner-occupied
residential structure that is at least 50 years old.
Proposed law retains present law but extends eligibility of the tax credit for rehabilitated
residential structures located in a federal designated HUBZone.
Present law limits taxpayers to one credit per rehabilitated structure. Further provides that
the total credit shall not exceed $25,000 per structure. In order to qualify for the credit,
requires rehabilitation costs for the structure to exceed $20,000.
Proposed law retains present law.
Present law (Section 2 of Act No. 479 of the 2005 R.S., as amended by Act No. 188 of the
2007 R.S.) provides that the provisions of present law shall be applicable until and including
the tax years beginning on or before Dec. 31, 2012.
Proposed law extends applicability of this tax credit from tax years beginning on or before
Dec. 31, 2012, to tax years beginning before Jan. 1, 2016.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends §2 of Act No. 479 of the 2005 R.S., as amended by Act No. 188 of the 2007 R.S.
and R.S. 47:297.6(A)(1)(intro. para))