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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2012
SENATE BILL NO. 302
BY SENATOR PEACOCK
TAX/INCOME/CORPORATE. Phases down the highest corporate income tax rates (5%
to 8%) to 4% over a four-year period starting for tax years beginning in 2013. (gov sig)
AN ACT1
To amend and reenact R.S. 47:32(C) and 287.12, relative to income tax; to reduce corporate2
income tax rates; and to provide for related matters.3
Be it enacted by the Legislature of Louisiana:4
Section 1. R.S. 47:32(C) and 287.12 are hereby amended and reenacted to read as5
follows: 6
§32. Rates of tax7
* * *8
C. On corporations. The tax to be assessed, levied, collected, and paid upon9
the net income of every corporation shall be computed at the rate of: 10
(1) Four percentum upon the first twenty-five thousand dollars of net income.11
(2)(a) For tax years beginning on or before December 31, 2012, five12
percentum percent upon the amount of net income above twenty-five thousand13
dollars but not in excess of fifty thousand dollars.14
(b) For tax years beginning on and after January 1, 2013, four percent15
upon such net income.16
(3)(a) For tax years beginning on or before December 31, 2012, six17 SB NO. 302
SLS 12RS-551 ORIGINAL
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
percentum percent on the amount of net income above fifty thousand dollars but not1
in excess of one hundred thousand dollars.2
(b) For tax years beginning during calendar year 2013, five percent on3
such net income.4
(c) For tax years beginning on and after January 1, 2014, four percent5
on such net income.6
(4)(a) For tax years beginning on or before December 31, 2012, seven7
percentum percent on the amount of net income above one hundred thousand dollars8
but not in excess of two hundred thousand dollars.9
(b) For tax years beginning during calendar year 2013, six percent on10
such net income.11
(c) For tax years beginning during calendar year 2014, five percent on12
such net income.13
(d) For tax years beginning on and after January 1, 2015, four percent14
on such net income.15
(5)(a) For tax years beginning on or before December 31, 2012, eight16
percentum percent on all net income in excess of two hundred thousand dollars.17
(b) For tax years beginning during calendar year 2013, seven percent on18
such net income.19
(c) For tax years beginning during calendar year 2014, six percent on20
such net income.21
(d) For tax years beginning during calendar year 2015, five percent on22
such net income.23
(6) For tax years beginning on and after January 1, 2016, the tax rate24
shall be four percent on all net income.25
* * *26
§287.12. Rates of tax27
The tax to be assessed, levied, collected, and paid upon the Louisiana taxable28
income of every corporation shall be computed at the rate of:29 SB NO. 302
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
(1) Four percent upon the first twenty-five thousand dollars of Louisiana1
taxable income.2
(2)(a) For tax years beginning on or before December 31, 2012, five3
percent upon the amount of Louisiana taxable income above twenty-five thousand4
dollars but not in excess of fifty thousand dollars.5
(b) For tax years beginning on and after January 1, 2013, four percent6
upon such income.7
(3)(a) For tax years beginning on or before December 31, 2012, six8
percent on the amount of Louisiana taxable income above fifty thousand dollars but9
not in excess of one hundred thousand dollars.10
(b) For tax years beginning during calendar year 2013, five percent on11
such income.12
(c) For tax years beginning on and after January 1, 2014, four percent13
on such income.14
(4)(a) For tax years beginning on or before December 31, 2012, seven15
percent on the amount of Louisiana taxable income above one hundred thousand16
dollars but not in excess of two hundred thousand dollars.17
(b) For tax years beginning during calendar year 2013, six percent on18
such income.19
(c) For tax years beginning during calendar year 2014, five percent on20
such income.21
(d) For tax years beginning on and after January 1, 2015, four percent22
on such income.23
(5)(a) For tax years beginning on or before December 31, 2012, eight24
percent on all Louisiana taxable income in excess of two hundred thousand dollars.25
(b) For tax years beginning during calendar year 2013, seven percent on26
such income.27
(c) For tax years beginning during calendar year 2014, six percent on28
such income.29 SB NO. 302
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
(d) For tax years beginning during calendar year 2015, five percent on1
such income.2
(6) For tax years beginning on and after January 1, 2016, the tax rate3
shall be four percent on all Louisiana taxable income.4
Section 2. This Act shall become effective upon signature by the governor or, if not5
signed by the governor, upon expiration of the time for bills to become law without signature6
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If7
vetoed by the governor and subsequently approved by the legislature, this Act shall become8
effective on the day following such approval.9
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Riley Boudreaux.
DIGEST
Present law levies a tax on corporations at the following rates:
1. 4% on the first $25,000 of net income.
2. 5% on the amount above $25,000 to $50,000.
3. 6% on the amount above $50,000 to $100,000.
4. 7% on the amount above $100,000 to $200,000.
5. 8% on all net income above $200,000.
Proposed law phases-down all the rates above 4% over a four-year period starting for tax
years beginning in 2013, so that all income is taxed at the 4% rate, as follows:
1. The 5% rate is phased down to 4% for tax years beginning on and after January 1,
2013.
2. The 6% rate is phased down:
For tax years beginning during calendar year 2013, 5.0%.
For tax years beginning on and after Jan. 1, 2014, 4.0%.
3. The 7% rate is phased down:
For tax years beginning during calendar year 2013, 6.0%.
For tax years beginning during calendar year 2014, 5.0%.
For tax years beginning on and after Jan. 1, 2015, 4.0%.
4. The 8% rate is phased down:
For tax years beginning during calendar year 2013, 7.0%.
For tax years beginning during calendar year 2014, 6.0%.
For tax years beginning during calendar year 2015, 5.0%.
For tax years beginning on and after January 1, 2016, the tax rate is 4% on all Louisiana
taxable income. SB NO. 302
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 47:32(C) and 287.12)