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 532 Engrossed 2015 Regular Session Stokes
Abstract: Changes the tax credit for local inventory taxes paid from a refundable credit to a credit
in which 75% of the amount of the credit above the liability is refundable and 25% may be
carried forward and applied against subsequent tax liability for calendar years 2015, 2016,
2017, and 2018.
Present law provides that taxes paid by corporations shall be applied to state corporate income and
corporation franchise taxes. Further provides that credit for taxes paid by unincorporated persons
shall be applied to state personal income taxes.
Present law provides that the taxpayer shall be entitled to a refund for any allowable credit which
exceeds the aggregate tax liability of the taxpayer. Further requires the Dept. of Revenue to refund
the excess tax credit amount to the taxpayer from current tax collections.
Proposed law provides that if the amount of the credit authorized exceeds the amount of tax liability
for the tax year, 75% shall be refundable and 25% shall be carried forward for calendar years 2015,
2016, 2017, and 2018. Further provides that in calendar year 2019, 100% shall be refundable.
(Amends R.S. 47:6006(B))
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Ways and Means to the original
bill:
1. Increase the amount of the credit that can be refunded from 65% to 75% and decrease the
amount of the credit that can be carried forward from 35% to 25%.