HLS 15RS-777 ORIGINAL
2015 Regular Session
HOUSE BILL NO. 405
BY REPRESENTATIVE THIBAUT
TAX/INCOME TAX: Reduces the amount of certain individual income tax exemptions,
deductions, and credits
1 AN ACT
2To amend and reenact R.S. 47:44.1, 293(2)(a)(i) and (b), and 297(I)(2), relative to individual
3 income tax; to provide for tax expenditures; to provide for individual income tax
4 exemptions, deductions, and, credits; to provide relative to the annual retirement and
5 disability income tax exemption; to provide relative to the construction code
6 retrofitting income tax deduction; to provide relative to the bone marrow donor
7 expense income tax credit; to reduce the amount of the income tax exemptions,
8 deductions, and credits; and to provide for related matters.
9Be it enacted by the Legislature of Louisiana:
10 Section 1. R.S. 47:44.1, 293(2)(a)(i) and (b), and 297(I)(2) are hereby amended and
11reenacted to read as follows:
12 §44.1. Annual retirement or disability income; exemption from taxation
13 A. Six thousand Five thousand eight hundred eighty dollars of annual
14 retirement income which is received by an individual sixty-five years of age or older
15 shall be exempt from state income taxation. "Annual retirement income" is defined
16 as pension and annuity income which is included in "tax table income" as defined in
17 R.S. 47:293. This Section shall not affect the status of any income which is exempt
18 from state income taxation by law.
19 B. Six thousand Five thousand eight hundred eighty dollars of annual
20 disability income received by an individual shall be exempt from state income
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1 taxation. For purposes of this Subsection, "disability income" means payment for
2 permanent total disability as provided for in R.S. 23:1221(2). However, any
3 individual claiming an exemption for the blind, for having sustained the loss of one
4 or more limbs, for intellectual disability, or for deafness as provided for in R.S.
5 47:79(A)(2) shall not be eligible for this exemption.
6 * * *
7 §293. Definitions
8 The following definitions shall apply throughout this Part, unless the context
9 requires otherwise:
10 * * *
11 (2)(a)(i) "Construction code retrofitting deduction" for the purposes of this
12 Part, means an amount equal to fifty forty-nine percent of the cost paid or incurred
13 on or after January 1, 2007, by a taxpayer to voluntarily retrofit an existing
14 residential structure, for which the taxpayer claims the homestead exemption for ad
15 valorem tax purposes, excluding rental property, as provided for in Subparagraph (e)
16 of this Paragraph to bring it into compliance with the State Uniform Construction
17 Code, less the value of any other state-, municipal-, or federal-sponsored financial
18 incentives for such cost paid.
19 * * *
20 (b) The total amount of deduction granted to a taxpayer under this Paragraph
21 shall not exceed five thousand four thousand nine hundred dollars per retrofitted
22 residential structure. The deduction earned under this Paragraph shall be claimed on
23 the return for the taxable year in which the work is completed.
24 * * *
25 §297. Reduction to tax due
26 * * *
27 I. There shall be a bone marrow donor expense tax credit for any individual
28 taxpayer required to file a Louisiana tax return, acting as a business entity authorized
29 to do business in the state, operating as either a sole proprietorship, a partner in a
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HB NO. 405
1 partnership, or as a Subchapter S Corporation, for bone marrow donor expense to be
2 determined as follows:
3 * * *
4 (2) A credit against the taxes otherwise due under this Part for the tax year
5 is allowed to an employer. The amount of the credit is equal to twenty-five twenty-
6 four and one-half percent of the bone marrow donor expense paid or incurred during
7 the tax year by an employer to provide a program for employees who are potential
8 bone marrow donors or who actually become bone marrow donors.
9 * * *
10 Section 2. This Act shall become effective on January 1, 2016; if vetoed by the
11governor and subsequently approved by the legislature, this Act shall become effective on
12January 1, 2016, or on the day following such approval by the legislature, whichever is later.
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)]
HB 405 Original 2015 Regular Session Thibaut
Abstract: Reduces the amount of certain individual income tax exemptions, deductions,
and credits.
Present law exempts from state income taxation $6,000 of annual retirement income that is
received by an individual 65 years of age or older and $6,000 of disability income received
by an individual.
Proposed law retains present law but reduces the amount of the exemption from $6,000 to
$5,880.
Present law provides an income tax deduction for construction code retrofitting in an amount
equal to 50% of the cost paid or incurred on or after Jan. 1, 2007, by a taxpayer to
voluntarily retrofit an existing residential structure. The maximum amount of the deduction
is $5,000.
Proposed law retains present law but reduces the amount of the deduction from 50% to 49%
and the maximum amount of the deduction from $5,000 to $4,900.
Present law provides an income tax credit for any individual taxpayer for bone marrow
donor expenses in an amount equal to 25% of the bone marrow donor expenses paid or
incurred during the tax year by an employer to provide a program for employees who are
potential bone marrow donors.
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HB NO. 405
Proposed law retains present law but reduces the amount of the credit from 25% to 24.5%.
(Amends R.S. 47:44.1, 293(2)(a)(i) and (b), and 297(I)(2) )
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