ENROLLED
ACT No. 125
2015 Regular Session
HOUSE BILL NO. 629
BY REPRESENTATIVES JACKSON, WESLEY BISHOP, COX, GAINES, HALL,
HUNTER, JAMES, TERRY LANDRY, NORTON, PIERRE, SMITH, AND
WOODRUFF
1 AN ACT
2 To amend and reenact R.S. 25:1226.4(C)(1) and (2), R.S. 47:34(B)(1), 35(C), 37(C), 227,
3 265, 287.664, 287.748(B)(1), 287.749(B), 287.752(B)(1), 287.753(C), 287.755(C),
4 287.758(B), 287.759(A) and (C)(3), 297(A), (B), (C)(1), (D)(2), (F), (G)(2), (H)(1),
5 (I)(2), (J)(4), (K)(2)(a), (L)(3), (M)(1), (N)(1) and (2), and (P)(2), 297.6(A)(1) and
6 (5), 297.9(A), 6004(A)(2), the heading of 6005, 6005(C)(1) and (D)(1), 6008(A),
7 6009(D)(1), 6012(B), 6013(A), 6017(A), 6018(C), 6020(D)(1) and (2)(a),
8 6022(D)(2)(introductory paragraph), 6023(C)(1) and (3)(introductory paragraph),
9 6025(A)(1), 6026(D)(2) and (3), 6032(C) and (F), 6034(C)(1)(a)(ii)(bb),
10 (C)(1)(a)(iii), (C)(1)(c), and (d), 6035(C)(1) and (D), 6036(C)(1)(b) and (I)(2)(a)(i),
11 and 6037(B)(1) and (2)(b), (c), and (d), and R.S. 51:1807(C), 2354(A) and (B),
12 2399.3(A)(2)(a) and (b), and 3085(B)(1)(a) and to enact R.S. 47:6022(D)(3), relative
13 to income and corporate franchise tax credits; to reduce the amount of tax credits;
14 to provide for an effective date; and to provide for related matters.
15 Be it enacted by the Legislature of Louisiana:
16 Section 1. R.S. 25:1226.4(C)(1) and (2) are hereby amended and reenacted to read
17 as follows:
18 §1226.4. Tax exemptions and credits
19 * * *
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1 C.(1) Whenever the governor finds that a concern satisfies the requirements
2 of this Part and the criteria established by rule, he shall advise the commerce board
3 that it may enter into a contract with such cottage industry for a tax credit of up to
4 one thousand five hundred one thousand two hundred dollars which that may be used
5 against the tax liability for state income and corporation franchise taxes related to the
6 operations of the cottage industry within the development zone.
7 (2) In addition to those tax credits provided for in Paragraph (1) of this
8 Subsection, the board may also enter into contracts with eligible cottage industries
9 for a one thousand five hundred one thousand two hundred dollar tax credit per new
10 employee hired during the taxable year for which the credit is claimed. In order to
11 qualify for this credit, the applicant must have net new hires of one full-time
12 employee or two part-time employees. A full-time employee is a person employed
13 for at least thirty-two hours per week. A part-time employee is a person employed
14 for at least twenty hours per week but less than thirty-two hours a week. In order to
15 qualify as a new hire for purposes of this credit, the employee must have been a
16 resident of the heritage area development zone for at least thirty days prior to
17 employment. The credit may be applied to any state income tax liability or any state
18 corporate franchise tax liability, but not liabilities for penalty or interest due or
19 outstanding at the time the credit is generated. This credit shall be applicable only
20 to a position that did not previously exist in the business and that is filled by a
21 resident of the development zone who is performing duties in connection with the
22 operation of the business as a regular, full-time employee.
23 * * *
24 Section 2. R.S. 47:34(B)(1), 35(C), 37(C), 227, 265, 287.664, 287.748(B)(1),
25 287.749(B), 287.752(B)(1), 287.753(C), 287.755(C), 287.758(B), 287.759(A) and (C)(3),
26 297(A), (B), (C)(1), (D)(2), (F), (G)(2), (H)(1), (I)(2), (J)(4), (K)(2)(a), (L)(3), (M)(1),
27 (N)(1) and (2), and (P)(2), 297.6(A)(1) and (5), 297.9(A), 6004(A)(2), the heading of 6005,
28 6005(C)(1) and (D)(1), 6008(A), 6009(D)(1), 6012(B), 6013(A), 6017(A), 6018(C),
29 6020(D)(1) and (2)(a), 6022(D)(2)(introductory paragraph), 6023(C)(1) and (3)(introductory
30 paragraph), 6025(A)(1), 6026(D)(2) and (3), 6032(C) and (F), 6034(C)(1)(a)(ii)(bb),
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1 (C)(1)(a)(iii), (C)(1)(c), and (d), 6035(C)(1) and (D), 6036(C)(1)(b) and (I)(2)(a)(i), and
2 6037(B)(1) and (2)(b), (c), and (d) are hereby amended and reenacted and R.S.47:6022(D)(3)
3 is hereby enacted to read as follows:
4 §34. Corporation tax credit
5 * * *
6 B.(1) The credit shall be a portion of the state corporate income tax, but not
7 in excess of fifty thirty-six percent of such tax. Such portion shall be an amount
8 determined by multiplying the number of new employees, as defined in Subsection
9 C of this Section, by the following amounts:
10 (a) one hundred seventy-two dollars per eligible new employee per taxable
11 year.
12 (b) two hundred one hundred forty-four dollars per eligible new
13 economically disadvantaged employee per taxable year.
14 (c) two hundred twenty-five one hundred sixty-two dollars per new
15 employee who is a resident of a neighborhood with an unemployment rate of ten
16 percent or more per taxable year.
17 * * *
18 §35. Neighborhood assistance tax credit
19 * * *
20 C. The division of administration shall grant a tax credit against the state
21 corporate income tax liability. A tax credit of up to seventy fifty percent of the
22 actual amount contributed may be allowed for investment in programs approved by
23 the commissioner of administration. Such credit for any corporation shall not exceed
24 two hundred fifty one hundred eighty thousand dollars annually. No tax credit shall
25 be granted to any bank, bank and trust company, insurance company, trust company,
26 national bank, savings association, or building and loan association for activities that
27 are a part of its normal course of business. Any tax credit not used in the period the
28 investment was made may be carried over for the next five succeeding taxable
29 periods until the full credit has been allowed.
30 * * *
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1 §37. Tax credit for contributions to educational institutions
2 * * *
3 C. There shall be allowed a credit against the tax liability due under the
4 income tax for donations, contributions, or sales below cost of tangible movable
5 property made to educational institutions in the state of Louisiana. The credit
6 allowed by this Section shall be computed at the rate of forty twenty-nine percent of
7 such property's value, as defined herein, or, in the case of a sale below cost, forty
8 twenty-nine percent of the difference between the price received for the tangible
9 movable property by the taxpayer and the value of the property as defined herein.
10 The credit shall be limited to the total of the tax liability for the taxable year for
11 which it is being claimed and shall be in lieu of the deductions from gross income
12 provided for in R.S. 47:57. The credit shall not be allowed if the taxpayer arbitrarily,
13 capriciously, or unreasonably discriminates against any person because of race,
14 religion, ideas, beliefs, or affiliations.
15 * * *
16 §227. Offset against tax
17 Every insurance company shall be entitled to an offset against any tax
18 incurred under this Chapter, in the amount of any taxes, based on premiums,
19 paid by it during the preceding twelve months, by virtue of any law of this
20 state. Beginning on and after July 1, 2015, and before July 1, 2018, the offset
21 shall be equal to seventy-two percent of the amount of any taxes, based on
22 premiums.
23 * * *
24 §265. Credits arising from refunds by utilities
25 Whenever a utility refunds to its customers, pursuant to an order of a court
26 or regulatory agency as a result of the denial of a proposed rate increase, an amount
27 or amounts which, if taken as a deduction from gross income in the year paid or
28 accrued, would result in a net loss, then in lieu of such deduction the utility may elect
29 to take a credit against its Louisiana income tax in the amount of seventy-two percent
30 of the income tax increase which was the sole result of the inclusion of the amount
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1 or amounts refunded in gross income in the year or years received irrespective of
2 whether or not the period of limitation provided in R.S. 47:1623 has expired for the
3 year in which the amount refunded was included in gross income. If this credit
4 exceeds the income tax that would be due the State of Louisiana in the year of the
5 refund, computed without the credit, then the excess of this credit may be carried
6 over the following two taxable years.
7 * * *
8 §287.664. Credits arising from refunds by utilities
9 Whenever a utility refunds to its customers, pursuant to an order of a court
10 or regulatory agency as a result of the denial of a proposed rate increase, an amount
11 or amounts which, if taken as a deduction from gross income in the year paid or
12 accrued, would result in a net loss, then in lieu of such deduction the utility may elect
13 to take a credit against its Louisiana income tax in the amount of seventy-two percent
14 of the income tax increase which was the sole result of the inclusion of the amount
15 or amounts refunded in gross income in the year or years received irrespective of
16 whether or not the period of limitation provided in R.S. 47:1623 has expired for the
17 year in which the amount refunded was included in gross income. If this credit
18 exceeds the income tax that would be due the state of Louisiana in the year of the
19 refund, computed without the credit, then the excess of this credit may be carried
20 over the following two taxable years.
21 * * *
22 §287.748. Corporation tax credit; re-entrant jobs credit
23 * * *
24 B.(1) The credit shall be one hundred fifty one hundred eight dollars per
25 eligible re-entrant employed, as defined in Subsection C hereof, but shall not exceed
26 fifty thirty-six percent of corporate income tax.
27 * * *
28 §287.749. Jobs credit
29 * * *
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1 B.(1) The credit shall be a portion of the state corporate income tax, but shall
2 not exceed fifty thirty-six percent of such tax. Such portion shall be an amount
3 determined as follows:
4 (a) One hundred seventy-two dollars per eligible new employee per taxable
5 year.
6 (b) Two hundred One hundred forty-four dollars per eligible new
7 economically disadvantaged employee per taxable year.
8 (c) Two hundred twenty-five One hundred sixty-two dollars per new
9 employee who is a resident of a neighborhood with an unemployment rate of ten
10 percent or more per taxable year.
11 * * *
12 §287.752. Tax credit for employment of first-time nonviolent offenders
13 * * *
14 B.(1) The credit shall be two hundred one hundred forty-four dollars per
15 taxable year per eligible employee.
16 * * *
17 §287.753. Neighborhood assistance tax credit
18 * * *
19 C. The division of administration or its successor shall grant a tax credit
20 against the state corporation income tax as provided in this Section. A tax credit of
21 up to seventy fifty percent of the actual amount contributed may be allowed for
22 investment in programs approved by the commissioner of administration or his
23 successor. Such credit for any corporation shall not exceed two hundred fifty one
24 hundred eighty thousand dollars annually. No tax credit shall be granted to any
25 bank, bank and trust company, insurance company, trust company, national bank,
26 savings association, or building and loan association for activities that are a part of
27 its normal course of business. Any tax credit not used in the period the investment
28 was made may be carried over for the next five succeeding taxable periods until the
29 full credit has been allowed.
30 * * *
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1 §287.755. Tax credit for contributions to educational institutions
2 * * *
3 C. There shall be allowed a credit against the tax liability due under the
4 income tax for donations, contributions, or sales below cost of tangible movable
5 property made to educational institutions in the state of Louisiana. The credit
6 allowed by this Section shall be computed at the rate of forty twenty-nine percent of
7 such property's value, as defined herein, or, in the case of a sale below cost, forty
8 twenty-nine percent of the difference between the price received for the tangible
9 movable property by the taxpayer and the value of the property as defined herein.
10 The credit shall be limited to the total of the tax liability for the taxable year for
11 which it is being claimed and shall be in lieu of the deductions from gross income
12 provided for in R.S. 47:57. The credit shall not be allowed if the taxpayer arbitrarily,
13 capriciously, or unreasonably discriminates against any person because of race,
14 religion, ideas, beliefs, or affiliations.
15 * * *
16 §287.758. Tax credit for bone marrow donor expense
17 * * *
18 B. A credit against the taxes otherwise due under this Part for the tax year
19 is allowed to an employer. The amount of the credit is equal to twenty-five eighteen
20 percent of the bone marrow donor expense paid or incurred during the tax year by
21 an employer to provide a program for employees who are potential or who actually
22 become bone marrow donors.
23 * * *
24 §287.759. Tax credit for employee and dependent health insurance coverage
25 A. When any contractor or subcontractor in the letting of any contract for the
26 construction of a public work offers health insurance coverage as provided for in this
27 Section, they shall be eligible for a five three and six tenths percent income tax credit
28 on forty percent of the amount of the contract received in a tax year if eighty-five
29 percent of the full-time employees of each contractor are offered health insurance
30 coverage and each such general contractor or subcontractor pays seventy-five percent
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1 of the total premium for such health insurance coverage for each full-time employee
2 who chooses to participate and pays not less than fifty percent of the total premium
3 for health insurance coverage for each dependent of the full-time employee who
4 elects to participate in dependent coverage.
5 * * *
6 C.
7 * * *
8 (3) The credit shall not exceed three million two million one hundred sixty
9 thousand dollars per year.
10 * * *
11 §297. Reduction to tax due
12 A. The tax determined as provided in this Part shall be reduced by one
13 hundred seventy-two dollars for any taxpayer, taxpayer's spouse, or dependent who
14 is deaf, blind, mentally incapacitated, or has lost the use of one or more limbs. Only
15 one credit is allowed for any one person.
16 B. The tax determined as provided in this Part shall be reduced by the
17 following: a credit for the elderly, a credit for contributions to candidates for public
18 office, an investment credit, a credit for foreign tax, a work incentive credit, jobs
19 credit, and residential energy credits. The amount of these credits shall be the lesser
20 of twenty-five eighteen dollars or ten seven and two tenths of one percent of the
21 same credits allowed on the federal income tax return for the same taxable period.
22 C.(1) There shall be allowed to an individual, as a credit against the tax
23 imposed by this Chapter for the taxable year, an amount equal to seventy-two percent
24 of the state gasoline and motor fuels taxes and special fuels taxes paid to operate or
25 propel a commercial fishing boat. The credit shall not be allowed for any such taxes
26 for which a refund has been claimed pursuant to the provisions of Part VIII of
27 Chapter 18 of this Subtitle.
28 * * *
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1 D. In addition to any other credits against the tax payable on net income
2 which the law allows to an individual taxpayer, the taxpayer shall be entitled to the
3 tax credit against the tax payable on net income provided for as follows:
4 * * *
5 (2) Any taxpayer who so qualifies shall be entitled to a maximum tax credit
6 of twenty-five eighteen dollars per child for educational expenses.
7 * * *
8 F. There shall be allowed to an individual, as a credit against the tax imposed
9 by this Chapter for the taxable year, an amount equal to thirty-three and one-third
10 twenty-four percent of the amount contributed in a family responsibility program
11 under the provisions of R.S. 46:449. The amount of this credit shall not exceed two
12 hundred one hundred forty-four dollars per year.
13 G. There shall be an environmental equipment purchase tax credit to be
14 determined as follows:
15 * * *
16 (2) The tax credit shall be twenty fourteen and four tenths percent of the
17 purchase price of the equipment if paid for in a single taxable year. If the equipment
18 purchase is financed over two or more taxable years, the tax credit in a taxable year
19 shall be twenty fourteen and four tenths percent of that portion of the original
20 purchase price paid in that taxable year. For partnerships and Subchapter S
21 Corporations, the tax credit shall proportionately pass through to each partner or
22 shareholder in the same percentage in which other shares of income, gain, loss,
23 deduction or credit are distributed in accordance with the partnership or shareholder
24 agreement.
25 * * *
26 H.(1) The tax determined as provided in this Part shall be reduced by the
27 lesser of the tax due or five thousand three thousand six hundred dollars per taxable
28 year up to a maximum of five years for each taxpayer meeting all of the following
29 criteria.
30 * * *
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1 I. There shall be a bone marrow donor expense tax credit for any individual
2 taxpayer required to file a Louisiana tax return, acting as a business entity authorized
3 to do business in the state, operating as either a sole proprietorship, a partner in a
4 partnership, or as a Subchapter S Corporation, for bone marrow donor expense to be
5 determined as follows:
6 * * *
7 (2) A credit against the taxes otherwise due under this Part for the tax year
8 is allowed to an employer. The amount of the credit is equal to twenty-five eighteen
9 percent of the bone marrow donor expense paid or incurred during the tax year by
10 an employer to provide a program for employees who are potential bone marrow
11 donors or who actually become bone marrow donors.
12 * * *
13 J.
14 * * *
15 (4) The amount of the credit per tax year is equal to the least of the tax due,
16 or one hundred seventy-two percent of the educational expenses, or seven hundred
17 fifty five hundred forty dollars.
18 K.
19 * * *
20 (2)(a) The credit shall be two hundred one hundred forty-four dollars per
21 taxable year per eligible employee.
22 * * *
23 L.
24 * * *
25 (3) The total amount of the credit shall be the lesser of the full seventy-two
26 percent of the purchase price including applicable taxes paid by the taxpayer or one
27 hundred seventy-two dollars. In order to claim the tax credit provided in this
28 Subsection, the qualified taxpayer must submit a certification from his employer
29 which that:
30 * * *
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1 M.(1) There shall be allowed a credit against the individual income tax for
2 amounts paid as premiums for eligible long-term care insurance. The amount of the
3 credit shall be equal to ten seven percent of the total amount of premiums paid
4 annually by each individual claiming the credit.
5 * * *
6 N.(1) There shall be allowed a credit against individual income tax due in
7 a taxable year equal to seventy-two percent of the following amounts incurred by a
8 taxpayer during his tax year if related to the taxpayer's travel or absence from work
9 because of a living organ donation by the taxpayer or the taxpayer's spouse:
10 * * *
11 (2) The credit provided for by this Section shall not exceed ten seven
12 thousand two hundred dollars per organ donation. It shall be allowed against the
13 income tax for the taxable period in which the credit is earned. If the tax credit
14 exceeds the amount of such taxes due, then any unused credit may be carried forward
15 as a credit against subsequent tax liability for a period not to exceed ten years.
16 * * *
17 P.
18 * * *
19 (2) The amount of the credit shall be one thousand seven hundred twenty
20 dollars, or seventy-two percent of the total tax liability of the taxpayer, whichever
21 is less. The credit shall be taken in the taxable year in which the construction of the
22 dwelling is completed. Only one tax credit may be granted per dwelling.
23 * * *
24 §297.6. Reduction to tax due; rehabilitation of residential structures
25 A.(1) There shall be a credit against individual income tax liability due under
26 this Title for the amount of eligible costs and expenses incurred during the
27 rehabilitation of an owner-occupied residential or owner-occupied mixed use
28 structure located in a National Register Historic District, a local historic district, a
29 Main Street District, a cultural products district, or a downtown development district,
30 or such owner-occupied residential structure which that has been listed or is eligible
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1 for listing on the National Register, or such structure which that has been certified
2 by the State Historic Preservation Office as contributing to the historical significance
3 of the district, or a vacant and blighted owner-occupied residential structure located
4 anywhere in the state that is at least fifty years old. The tax credit authorized
5 pursuant to this Section shall be limited to one credit per structure rehabilitated. The
6 total credit shall not exceed twenty-five eighteen thousand five hundred dollars per
7 structure. In order to qualify for that credit, the rehabilitation costs for the structure
8 must exceed ten thousand dollars.
9 (a) If the credit is for the rehabilitation of an owner-occupied residential
10 structure, the credit shall be twenty-five eighteen and one-half of one percent of the
11 eligible costs and expenses of a rehabilitation for which an application for credit has
12 been filed for the first time after July 1, 2011. If the residential structure is owned
13 and occupied by two or more individuals, the applicable percentage shall be based
14 on the sum of all owner-occupants who contribute to the rehabilitation, and the credit
15 will be divided between the owner-occupants in proportion to their contribution to
16 the eligible costs and expenses.
17 (b) If the credit is for the rehabilitation of a vacant and blighted owner-
18 occupied residential structure that is at least fifty years old, the credit shall be fifty
19 thirty-six percent of the eligible costs and expenses of a rehabilitation for which an
20 application for credit has been filed for the first time after July 1, 2011.
21 * * *
22 (5) The maximum amount of tax credits allowed by the State Historic
23 Preservation Office to be granted in any calendar year shall not exceed ten seven
24 million two hundred thousand dollars. The granting of credits under this Section
25 shall be on a first-come, first-served basis. If the total amount of credits applied for
26 in any particular year exceeds the aggregate amount of tax credits allowed for that
27 year, the excess will be treated as having been applied for on the first day of the
28 subsequent year.
29 * * *
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1 §297.9. Reduction to tax due; amounts paid by certain military servicemembers and
2 dependents for certain hunting and fishing licenses
3 A. There shall be a credit against individual income tax liability due under
4 this Part for seventy-two percent of the amounts paid by an active or reserve military
5 servicemember, or the spouse or dependent of such servicemember, for obtaining a
6 Louisiana noncommercial hunting or fishing license for themselves or their spouses
7 and dependents.
8 * * *
9 §6004. Employer credit
10 A.
11 * * *
12 (2) The credit shall be seven hundred fifty five hundred forty dollars and
13 shall be allowed against the income tax for the taxable period during which the new
14 employee has completed one year of full-time service with the taxpayer and/or or
15 against the corporation franchise tax for the taxable period following the taxable
16 period during which the new employee has completed one year of full-time service
17 with the taxpayer. Only one tax credit shall be allowed for:
18 * * *
19 §6005. Qualified new recycling manufacturing or process equipment and/or and
20 service contracts
21 * * *
22 C.(1) A taxpayer who purchases qualified new recycling manufacturing or
23 process equipment and/or or qualified service contracts, or both, as defined in this
24 Section and certified by the secretary of the Department of Environmental Quality
25 to be used or performed exclusively in this state shall be entitled to a credit against
26 any income and corporation franchise taxes imposed by the state in an amount equal
27 to twenty fourteen and four tenths of one percent of the cost of the new recycling
28 manufacturing or process equipment and/or or qualified service contract, or both,
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1 less the amount of any other tax credits received for the purchase of such equipment
2 and/or or contract, or both.
3 * * *
4 D.(1) The amount of the credit claimed in the taxable period for which
5 certification of equipment is received, and the amount of credit claimed therefor in
6 each taxable period thereafter, shall not exceed twenty percent of the amount of the
7 total credit allowable. In no case shall the credit claimed exceed fifty percent of the
8 tax liability which would be otherwise due for that taxable period. Any unused
9 credit for a taxable year in which a credit is allowed may be carried forward to
10 subsequent years until the credit is exhausted. Total credits certified by the secretary
11 of the Department of Environmental Quality in any calendar year shall not exceed
12 five million three million six hundred thousand dollars.
13 * * *
14 §6008. Tax credits for donations made to assist playgrounds in economically
15 depressed areas
16 A. There shall be allowed a credit against any Louisiana income or
17 corporation franchise tax for qualified donations made to qualified playgrounds. The
18 credit shall be an amount equal to the lesser of one thousand seven hundred twenty
19 dollars or one-half thirty-six one hundredths of the value of the cash, equipment,
20 goods, or services donated. Any such credit shall be taken as a credit against the
21 applicable tax or taxes only in the taxable period in which the donation is made. The
22 total amount of the credits taken by any taxpayer during any taxable year shall not
23 exceed one thousand dollars.
24 * * *
25 §6009. Louisiana Basic Skills Training Tax Credit
26 * * *
27 D. Tax credits. (1) Any Louisiana business or industry which satisfies the
28 criteria provided for herein shall, with submission of proper and complete
29 applications, receive a two hundred fifty one hundred eighty dollar tax credit per
30 participating employee, with the total of all such basic skills training tax credits not
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1 to exceed thirty twenty-one thousand six hundred dollars for any such single business
2 or industry enterprise in a particular tax year. This tax credit may be applied to any
3 state income tax liability or any state corporation franchise tax liability and, if the
4 entire credit cannot be used in the year earned, the remainder may be applied against
5 income tax or corporation franchise tax liabilities for the succeeding two tax years,
6 or until the entire credit is used, whichever occurs first.
7 * * *
8 §6012. Employer tax credits for donations of materials, equipment, advisors, or
9 instructors
10 * * *
11 B. There shall be a credit against any Louisiana income or corporation
12 franchise tax for the donation of the latest technology available in materials,
13 equipment, or instructors made to public training providers, secondary and
14 postsecondary vocational-technical schools, apprenticeship program registered with
15 the Louisiana Workforce Commission, or community colleges within the state. The
16 credit shall be an amount equal to one-half thirty-six one hundredths of the value of
17 the donated materials, equipment, or services rendered by the instructor. Any such
18 credit shall be taken as a credit against the applicable tax or taxes in the taxable
19 period in which the donation was made. This tax credit, when combined with all
20 other applicable tax credits, shall not exceed twenty percent of the employer's tax
21 liability for any taxable year.
22 * * *
23 §6013. Tax credits for donations made to public schools
24 A. There shall be allowed a credit against the corporate income tax and the
25 corporation franchise tax for qualified donations made to a public school. The credit
26 shall be an amount equal to forty twenty-eight and eight tenths percent of the
27 appraised value of the qualified donation. Any such credit shall be taken as a credit
28 against the corporate income or corporation franchise tax for the taxable year in
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1 which the donation is made. The total of all such credits taken in a taxable year shall
2 not exceed the total tax liability for that taxable year.
3 * * *
4 §6017. Tax credits for certain expenses paid by economic development corporations
5 A. There shall be allowed a credit against any Louisiana income or
6 corporation franchise taxes for the filing fee paid to the Louisiana State Bond
7 Commission that is incurred by an economic development corporation in the
8 preparation and issuance of bonds, as provided for in Chapter 27 of Title 33 of the
9 Louisiana Revised Statutes of 1950. The credit shall be an amount equal to seventy-
10 two percent of the amount of the filing fee paid to the Louisiana State Bond
11 Commission that is incurred by the corporation in the preparation and issuance of the
12 bonds.
13 * * *
14 §6018. Tax credits for purchasers from "PIE contractors"
15 * * *
16 C. The amount of the credit shall be equal to seventy-two percent of the state
17 sales and use tax paid by the purchaser on each case or other unit of apparel during
18 the purchaser's tax year as reflected on the books and records of the purchaser during
19 his tax year.
20 * * *
21 §6020. Angel Investor Tax Credit Program
22 * * *
23 D. Tax credits. (1) The total amount of tax credits granted by the
24 department in any calendar year shall not exceed five million three million six
25 hundred thousand dollars. The department shall by rule establish the method of
26 allocating available tax credits to investors including but not limited to a first-come,
27 first-served system, reservation of tax credits for a specific time period, or other
28 method which the department, in its discretion, may find beneficial to the program.
29 If the department does not grant the entire five million three million six hundred
30 thousand dollars in tax credits in any calendar year, the amount of residual unused
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1 tax credits shall carry forward to subsequent calendar years and may be granted in
2 any year without regard to the five million three million six hundred thousand dollar
3 per year limitation. After the approval of an investor pool, the department shall issue
4 a letter identifying the amount of tax credits that are available to that pool; however,
5 no tax credit shall be granted to an investor until the investment has been made in the
6 Louisiana Entrepreneurial Business.
7 (2)(a) An investor may apply for and, if qualified, be granted a credit on any
8 income or corporation franchise tax liability owed to the state by the taxpayer
9 seeking to claim the credit in the amount approved by the secretary of the
10 department. The amount of the tax credit shall be based upon the amount of money
11 invested by the investor in the Louisiana Entrepreneurial Business, which investment
12 shall not exceed one million seven hundred twenty thousand dollars per year per
13 business and two million one million four hundred forty thousand dollars total per
14 business. Except as otherwise provided in Subparagraph (b) of this Paragraph, the
15 credit shall be allowed against the income tax for the taxable period in which the
16 credit is earned and the franchise tax for the taxable period following the period in
17 which the credit is earned. The credits approved by the department shall be granted
18 at the rate of thirty-five twenty-five and two tenths percent of the amount of the
19 investment with the credit divided in equal portions for five years.
20 * * *
21 §6022. Digital interactive media and software tax credit
22 * * *
23 D. Tax credit; specific projects.
24 * * *
25 (2) For applications for state-certified productions submitted to the office on
26 or after July 1, 2009, and before July 1, 2015, and subsequently approved by the
27 office and secretary, there are hereby authorized tax credits which shall be earned by
28 a company at the time funds are expended in Louisiana on a state-certified
29 production as follows:
30 * * *
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1 (3) For applications for state-certified productions submitted to the office on
2 or after July 1, 2015, and subsequently approved by the office and secretary, there
3 are hereby authorized tax credits that shall be earned by a company at the time funds
4 are expended in Louisiana on a state-certified production as follows:
5 (a) Credits shall be earned at the rate of eighteen percent of the base
6 investment.
7 (b) To the extent that base investment is expended on payroll for Louisiana
8 residents employed in connection with a state-certified production, additional tax
9 credits shall be earned at the rate of seven and two tenths of one percent of the
10 payroll.
11 * * *
12 §6023. Sound recording investor tax credit
13 * * *
14 C. Investor tax credit; state-certified productions and infrastructure projects.
15 (1) Until January 1, 2020, there is hereby authorized a credit against the state
16 income tax for investments made in state-certified productions and state-certified
17 sound recording infrastructure projects. The tax credit shall be earned by investors
18 at the time expenditures are certified by the Louisiana Department of Economic
19 Development according to the total base investment certified for the sound recording
20 production company per calendar year; however, no credit shall be allowed under
21 this Section for any expenditures for which a credit was granted under R.S. 47:6007.
22 (a) For state-certified productions certified on and after July 1, 2007 and
23 prior to July 1, 2015, and state-certified infrastructure projects which have applied
24 on or before August 1, 2009, each investor shall be allowed a tax credit of twenty-
25 five percent of the base investment made by that investor in excess of fifteen
26 thousand dollars or, if a resident of this state, in excess of five thousand dollars.
27 (b) For state-certified productions certified on and after July 1, 2015, and
28 state-certified infrastructure projects which have been applied on or after July 1,
29 2015, each investor shall be allowed a tax credit of eighteen percent of the base
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1 investment made by that investor in excess of fifteen thousand dollars or, if a
2 resident of this state, in excess of five thousand dollars.
3 * * *
4 (3)(a) Except as otherwise provided in this Paragraph, the aggregate amount
5 of credits certified for all investors pursuant to this Section during any calendar year
6 shall not exceed three million dollars two million one hundred sixty thousand dollars.
7 * * *
8 §6025. Tax credit for Louisiana Citizens Property Insurance Corporation assessment
9 A.(1) There shall be allowed a credit against Louisiana income tax due in a
10 taxable year for seventy-two percent of the amount of surcharges, market
11 equalization charges, or assessments paid by a taxpayer during the taxable year as
12 a result of the 2005 regular assessment or the emergency assessments levied due to
13 Hurricanes Katrina and Rita by Louisiana Citizens Property Insurance Corporation
14 for the FAIR Plan and Coastal Plan, as they are defined in R.S. 22:2292.
15 * * *
16 §6026. Cane River heritage tax credit
17 * * *
18 D.
19 * * *
20 (2) The tax credit authorized by the provisions of this Section shall be for an
21 amount of up to one thousand five hundred one thousand eighty dollars, which may
22 be used against the tax liability for state income and corporation franchise taxes
23 related to the operations of the cottage industry within the development zone.
24 (3) In addition, the department may also enter into contracts with eligible
25 cottage industries for a one thousand five hundred one thousand eighty dollar tax
26 credit per new employee hired during the taxable year for which the credit is
27 claimed. In order to qualify for this credit, the applicant must have net new hires of
28 one full-time employee or two part-time employees. A full-time employee is a
29 person employed for at least thirty-two hours per week. A part-time employee is a
30 person employed for at least twenty hours per week but less than thirty-two hours a
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1 week. In order to qualify as a new hire for purposes of this credit, the employee
2 must have been a resident of the heritage area development zone for at least thirty
3 days prior to employment. The credit may be applied to any state income tax
4 liability or any state corporate franchise tax liability, but shall not be applied to any
5 liabilities for penalty or interest due or outstanding at the time the credit is generated.
6 This credit shall be applicable only to a position that did not previously exist in the
7 business and that is filled by a resident of the development zone who is performing
8 duties in connection with the operation of the business as a regular, full-time
9 employee.
10 * * *
11 §6032. Tax credit for certain milk producers
12 * * *
13 C. Each qualifying taxpayer is eligible for tax credits based on the
14 production and sale of milk below the announced production price over a calendar
15 year in accordance with the following schedule:
16 Amount of Milk Produced: Amount of Tax Credit:
17 Up to 1,000,000 pounds $ 5,000 $3,600
18 1,000,001 to 1,500,000 pounds $10,000 $7,200
19 1,500,001 to 2,000,000 pounds $15,000 $10,800
20 2,000,001 to 2,500,000 pounds $20,000 $14,400
21 2,500,001 to 3,000,000 pounds $25,000 $18,000
22 3,000,001 pounds and above $30,000 $21,600
23 * * *
24 F. The credit allowed for each producer pursuant to this Section shall not
25 exceed thirty twenty-one thousand six hundred dollars per calendar year. The total
26 aggregate amount of tax credits for all producers provided for under this Section
27 shall be capped at two million five hundred thousand one million eight hundred
28 thousand dollars per calendar year.
29 * * *
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1 §6034. Musical and theatrical production income tax credit
2 * * *
3 C. Income tax credits for state-certified productions and state-certified
4 musical or theatrical facility infrastructure projects:
5 (1) There is hereby authorized the following types of credits against the state
6 income tax:
7 (a)
8 * * *
9 (ii)
10 * * *
11 (bb)(I) For state-certified higher education musical or theatrical
12 infrastructure projects that receive initial certification on or before January 1, 2018
13 July 1, 2015, a base investment credit may be earned for expenditures made in the
14 state on or before January 1, 2022, for the construction, repair, or renovation of a
15 new state-certified higher education musical or theatrical facility infrastructure
16 project, or for investments made by a company or a financier in such infrastructure
17 project that are, in turn, expended for such construction, repair, or renovation. No
18 more than ten million dollars in tax credits per project or sixty million dollars total
19 in tax credits shall be granted for state-certified higher education musical or
20 theatrical infrastructure projects for projects that receive initial certification before
21 July 1, 2015. Twenty-five percent of the total base investment provided for in the
22 initial certification letter of a state-certified higher education musical or theatrical
23 infrastructure project must be expended on or before January 1, 2020, in order for the
24 project to earn credits for the remaining estimated base investment provided for in
25 the initial certification letter, as expenditures are made in the state on or before
26 January 1, 2022. No credits shall be certified until the state-certified higher
27 education musical or theatrical infrastructure project is complete. The initial
28 certification letter shall be effective for qualified expenditures made no more than
29 six months prior to the date of application. State-certified higher education musical
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1 or theatrical infrastructure projects shall not be subject to the provisions of Subitem
2 (cc) of this Item nor shall such projects be subject to the provisions of Subsection H
3 of this Section.
4 (II) For state-certified higher education musical or theatrical infrastructure
5 projects that receive initial certification on or after July 1, 2015, and on or before
6 January 1, 2018, a base investment credit may be earned for expenditures made in
7 the state on or before January 1, 2022, for the construction, repair, or renovation of
8 a new state-certified higher education musical or theatrical facility infrastructure
9 project, or for investments made by a company or a financier in such infrastructure
10 project that are, in turn, expended for such construction, repair, or renovation. No
11 more than seven million two hundred thousand dollars in tax credits per project or
12 forty-three million two hundred thousand dollars total in tax credits shall be granted
13 for state-certified higher education musical or theatrical infrastructure projects that
14 receive initial certification on or after July 1, 2015, and on or before January 1, 2018.
15 Twenty-five percent of the total base investment provided for in the initial
16 certification letter of a state-certified higher education musical or theatrical
17 infrastructure project must be expended on or before January 1, 2020, in order for the
18 project to earn credits for the remaining estimated base investment provided for in
19 the initial certification letter, as expenditures are made in the state on or before
20 January 1, 2022. No credits shall be certified until the state-certified higher
21 education musical or theatrical infrastructure project is complete. The initial
22 certification letter shall be effective for qualified expenditures made no more than
23 six months prior to the date of application. State-certified higher education musical
24 or theatrical infrastructure projects shall not be subject to the provisions of Subitem
25 (cc) of this Item nor shall such projects be subject to the provisions of Subsection H
26 of this Section.
27 * * *
28 (iii)(aa) Except For state-certified projects that receive initial certification
29 prior to July 1, 2015, and except as limited for state-certified infrastructure projects
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1 as provided for in this Subparagraph, the base investment credit shall be for the
2 following amounts:
3 (aa) (I) If the total base investment is greater than one hundred thousand
4 dollars and less than or equal to three hundred thousand dollars, a company shall be
5 allowed a tax credit of ten percent of the base investment made by that company.
6 (bb) (II) If the total base investment is greater than three hundred thousand
7 dollars and less than or equal to one million dollars, a company shall be allowed a
8 tax credit of twenty percent of the base investment made by that company.
9 (cc) (III) If the total base investment is greater than one million dollars, a
10 company shall be allowed a tax credit of twenty-five percent of the base investment
11 made by that company.
12 (bb) For state-certified projects that receive initial certification on or after
13 July 1, 2015, and except as limited for state-certified infrastructure projects as
14 provided for in this Subparagraph, the base investment credit shall be for the
15 following amounts:
16 (I) If the total base investment is greater than one hundred thousand dollars
17 and less than or equal to three hundred thousand dollars, a company shall be allowed
18 a tax credit of seven and two-tenths of one percent of the base investment made by
19 that company.
20 (II) If the total base investment is greater than three hundred thousand dollars
21 and less than or equal to one million dollars, a company shall be allowed a tax credit
22 of fourteen and four-tenths of one percent of the base investment made by that
23 company.
24 (III) If the total base investment is greater than one million dollars, a
25 company shall be allowed a tax credit of eighteen percent of the base investment
26 made by that company.
27 (c)(i) An For state-certified musical or theatrical productions that receive an
28 initial certification before July 1, 2015, an additional tax credit of one tenth of one
29 percent of the amount expended to employ students enrolled in Louisiana colleges,
30 universities, and vocational-technical schools in a state certified musical or theatrical
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1 production in arts-related positions, such as an actor, writer, producer, stagehand, or
2 director, or as a technician working on aspects of the production such as lighting,
3 sound, and actual stage work, or working indirectly on the production in accounting,
4 law, management, and marketing.
5 (ii) For state-certified musical or theatrical productions that receive an initial
6 certification on or after July 1, 2015, and on or before January 1, 2018, an additional
7 tax credit of seventy-two thousandths of one percent of the amount expended to
8 employ students enrolled in Louisiana colleges, universities, and vocational-
9 technical schools in a state certified musical or theatrical production in arts-related
10 positions, such as an actor, writer, producer, stagehand, or director, or as a technician
11 working on aspects of the production such as lighting, sound, and actual stage work,
12 or working indirectly on the production in accounting, law, management, and
13 marketing.
14 (d)(i) To the extent that base investment is expended on payroll for
15 Louisiana residents employed in connection with a state-certified musical or
16 theatrical production that receives initial certification prior to July 1, 2015, except
17 for the students provided for in Subparagraph (c) of this Paragraph, or the
18 construction of a state-certified musical or theatrical facility infrastructure project,
19 a company shall be allowed an additional tax credit of ten percent of such payroll;
20 however, if the amount paid to any one person exceeds one million dollars, the
21 additional credit shall not include any amount paid to that person that exceeds one
22 million dollars.
23 (ii) To the extent that base investment is expended on payroll for Louisiana
24 residents employed in connection with a state-certified musical or theatrical
25 production that receives initial certification on or after July 1, 2015, and on or before
26 January 1, 2018, except for the students provided for in Subparagraph (c) of this
27 Paragraph, or the construction of a state-certified musical or theatrical facility
28 infrastructure project, a company shall be allowed an additional tax credit of seven
29 and two-tenths of one percent of such payroll; however, if the amount paid to any
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1 one person exceeds one million dollars, the additional credit shall not include any
2 amount paid to that person that exceeds one million dollars.
3 * * *
4 §6035. Tax credit for conversion of vehicles to alternative fuel usage
5 * * *
6 C.(1) The credit provided for in Subsection A of this Section shall be
7 allowed against individual or corporate income tax for the taxable period in which
8 the property is purchased and installed, if applicable, and shall be equal to fifty
9 thirty-six percent of the cost of the qualified clean-burning motor vehicle fuel
10 property.
11 * * *
12 D. In cases where no previous credit has been claimed pursuant to
13 Subsection C of this Section for the cost of qualified clean-burning motor vehicle
14 fuel property in a new motor vehicle purchased by a taxpayer with qualified
15 clean-burning motor vehicle fuel property installed by the vehicle's manufacturer and
16 the taxpayer is unable to, or elects not to determine the exact cost which is
17 attributable to such property, the taxpayer may claim a credit against individual or
18 corporate income tax for the taxable period in which the motor vehicle is purchased
19 equal to ten seven and two tenths percent of the cost of the motor vehicle or three
20 thousand one thousand five hundred dollars, whichever is less, provided the motor
21 vehicle is registered in this state.
22 * * *
23 §6036. Ports of Louisiana tax credits
24 * * *
25 C. Investor tax credit. (1)(a) There are hereby authorized the following
26 credits against state income and corporate franchise tax:
27 * * *
28 (b) The Investor Tax Credit provided for in this Subsection shall be granted
29 by the Department of Economic Development for a qualifying project if the
30 commissioner of administration, after approval of the Joint Legislative Committee
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1 on the Budget, and the state bond commission certifies to the secretary of the
2 department that securing the project will result in a significant positive economic
3 benefit to the state. "Significant positive economic benefit" means net positive tax
4 revenue that shall be determined by taking into account direct, indirect, and induced
5 impacts of the project based on a standard economic impact methodology utilized
6 by the commissioner, and the value of the credit, and any other state tax and financial
7 incentives that are used by the department to secure the project. If the commissioner
8 with the approval of the committee so certifies, then the Department of Economic
9 Development may grant a tax credit equal to seventy-two percent of the total capital
10 costs of such qualifying project to be taken at five percent per tax year or shall grant
11 such other amount of tax credit to be taken at such other percentage which is
12 warranted by the significant positive economic benefit determined by the
13 commissioner, but no tax credit granted for a qualifying project shall exceed two
14 million five hundred thousand one million eight hundred thousand dollars per tax
15 year. However, the total amount of tax credits granted on a qualifying project shall
16 not exceed the total cost of the project. In addition, the investor tax credits granted
17 by the department to any recipient pursuant to this Section shall be limited to an
18 amount which shall not result in a reduction of tax liability by all recipients of such
19 credits to exceed six million two hundred fifty thousand four million five hundred
20 thousand dollars in any fiscal year.
21 * * *
22 I. Import-export cargo tax credit.
23 * * *
24 (2)(a)(i) For taxable years beginning on and after January 1, 2014, there shall
25 be allowed a credit against the individual income, corporation income, and
26 corporation franchise tax liability of a taxpayer who has received certification
27 pursuant to the provisions of Paragraph (1) of this Subsection; provided that the
28 credit shall be allowed only against the tax liability of the international business
29 entity which receives the certification. The amount of the credit shall be equal to the
30 product of multiplying five dollars three dollars and sixty cents by the taxpayer's
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1 number of tons of qualified cargo for the taxable year which exceeds the pre-
2 certification tonnage or the product of multiplying the number of dollars by the
3 taxpayer's number of tons of qualified cargo for the taxable year or portion of a
4 taxable year which exceeds the pre-certification tonnage which is warranted by the
5 significant positive economic benefit determined by the commissioner pursuant to
6 Item (ii) of this Subparagraph, whichever is less. For purposes of this Item, "pre-
7 certification tonnage" means the number of tons of cargo which meets the definition
8 of qualified cargo for purposes of this credit, and which was owned by the
9 international business entity receiving the credit, were imported or exported to or
10 from a manufacturing, fabrication, assembly, distribution, processing, or warehouse
11 facility located in Louisiana, and which were so moved by way of an oceangoing
12 vessel berthed at public port facilities in Louisiana during the 2013 calendar year.
13 However, each tax credit granted to a taxpayer shall be subject to the same limit as
14 is provided for a qualifying project pursuant to Subparagraph (C)(1)(b) of this
15 Section. In addition, the import-export cargo tax credits granted by the department
16 to any recipient pursuant to this Section shall be limited to an amount which shall not
17 result in a reduction of tax liability by all recipients of such credits to exceed six
18 million two hundred fifty thousand four million five hundred thousand dollars in any
19 fiscal year.
20 * * *
21 §6037. Tax credit for "green job industries"
22 * * *
23 B. Income tax credits for state-certified green projects:
24 (1) There is hereby authorized a base investment tax credit for certified,
25 verified, and approved expenditures in the state for the construction, repair, or
26 renovation of a state-certified green project, or for investments made by a company
27 or a financier in such project which are, in turn, expended for such construction,
28 repair, or renovation, not to exceed one million seven hundred twenty thousand
29 dollars per state-certified green project. No more than five million three million six
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1 hundred thousand dollars in tax credits under this Section shall be granted for state-
2 certified green projects per year.
3 * * *
4 (2)(a) Tax credits for state-certified green projects shall be earned only as
5 follows:
6 * * *
7 (b) The base investment credit for state-certified green projects shall be for
8 the following amounts:
9 (i) If the total base investment is greater than one hundred thousand dollars
10 and less than or equal to three hundred thousand dollars, a company shall be allowed
11 a tax credit of ten seven and two tenths of one percent of the base investment made
12 by that company.
13 (ii) If the total base investment is greater than three hundred thousand dollars
14 and less than or equal to one million dollars, a company shall be allowed a tax credit
15 of twenty fourteen and four tenths of one percent of the base investment made by
16 that company.
17 (iii) If the total base investment is greater than one million dollars, a
18 company shall be allowed a tax credit of twenty-five eighteen percent of the base
19 investment made by that company.
20 (c) To the extent that base investment is expended on payroll for Louisiana
21 residents employed in connection with the construction of a state-certified green
22 project, a company shall be allowed an additional tax credit of ten seven and two
23 tenths of one percent of the payroll; however, if the amount paid to any one person
24 exceeds one million dollars, the additional credit shall not include any amount paid
25 to that person that exceeds one million dollars.
26 (d) To the extent that base investment is expended on payroll for Louisiana
27 residents employed in connection with a state-certified green project, who are
28 graduates of an institution within the Louisiana Community and Technical College
29 System or graduates of an apprenticeship program registered with the Louisiana
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1 Workforce Commission, each investor shall be allowed an additional tax credit of
2 seventy-two one hundredths of one percent of such payroll.
3 * * *
4 Section 3. R.S. 51:1807(C), 2354(A) and (B), 2399.3(A)(2)(a) and (b), and
5 3085(B)(1)(a) are hereby amended and reenacted to read as follows:
6 §1807. Incentives
7 * * *
8 C. The board, after consultation with the secretaries of the Department of
9 Economic Development and the Department of Revenue and with the approval of the
10 governor, may enter into contracts to provide for a five thousand three thousand six
11 hundred dollar tax credit per net new employee as determined by the company's
12 average annual employment reported under the Louisiana Employment Security
13 Law. This tax credit may be applied to any state income tax liability or any state
14 franchise tax liability and shall be used for the taxable year in which the increase in
15 average annual employment occurred. However, if the entire credit cannot be used
16 in the year earned, the excess of the credit over the aggregate tax liabilities against
17 which the credit can be applied shall constitute an overpayment, as defined in R.S.
18 47:1621(A), and the secretary shall make a refund of such overpayment from the
19 current collections of the taxes imposed by Chapter 1 and Chapter 5 of Subtitle II of
20 Title 47 of the Louisiana Revised Statutes of 1950, as amended. The right to a
21 refund of any such overpayment shall not be subject to the requirement of R.S.
22 47:1621(B).
23 * * *
24 §2354. Technology commercialization credit; amount; duration; forfeit
25 A. For applications for the technology commercialization credit approved
26 prior to July 1, 2015, the following shall apply:
27 (1) Except as provided in Subsection B of this Section Paragraph (2) of this
28 Subsection, the taxpayer may earn and apply for and, if qualified, be granted a
29 refundable tax credit which may be applied to any income or corporation franchise
30 tax liability owed to the state by the taxpayer seeking to claim the credit, equal in
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1 value to forty percent of the amount of money invested by the taxpayer applicant in
2 commercialization costs for one business location meeting the requirements of R.S.
3 51:2353(C)(1) and (2) as certified by the Department of Economic Development.
4 B. (2) A tax credit granted pursuant to this Part shall expire and have no
5 value or effect on tax liability beginning with the twenty-first tax year after the tax
6 year in which it was originally earned, applied for, and granted. An applicant that
7 meets the requirements of R.S. 51:2353 and is approved by the Department of
8 Economic Development may receive a refundable tax credit based on new jobs for
9 the period of time approved which shall be equal to six percent multiplied by the
10 gross payroll of new direct jobs meeting the requirements of R.S. 51:2353(C)(3) and
11 (4) as certified by the Department of Economic Development.
12 B. For applications for the technology commercialization credit approved on
13 or after July 1, 2015, the following shall apply:
14 (1) Except as provided in Paragraph (2) of this Subsection, the taxpayer may
15 earn and apply for and, if qualified, be granted a refundable tax credit which may be
16 applied to any income or corporation franchise tax liability owed to the state by the
17 taxpayer seeking to claim the credit, equal in value to twenty-eight and eight-tenths
18 of one percent of the amount of money invested by the taxpayer applicant in
19 commercialization costs for one business location meeting the requirements of R.S.
20 51:2353(C)(1) and (2) as certified by the Department of Economic Development.
21 (2) A tax credit granted pursuant to this Part shall expire and have no value
22 or effect on tax liability beginning with the twenty-first tax year after the tax year in
23 which it was originally earned, applied for, and granted. An applicant that meets the
24 requirements of R.S. 51:2353 and is approved by the Department of Economic
25 Development may receive a refundable tax credit based on new jobs for the period
26 of time approved which shall be equal to four and thirty-two hundredths of one
27 percent multiplied by the gross payroll of new direct jobs meeting the requirements
28 of R.S. 51:2353(C)(3) and (4) as certified by the Department of Economic
29 Development.
30 * * *
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1 §2399.3. Modernization tax credit
2 A.
3 * * *
4 (2)(a) For credits approved prior to July 1, 2015, the following shall apply:
5 (i) The credits approved by the department shall be granted at the rate of five
6 percent of the amount of qualified expenditures incurred by the employer for
7 modernization with the credit divided in equal portions for five years, subject to the
8 limitations provided for in other Paragraphs of this Subsection.
9 (b) (ii) The total amount of modernization tax credits granted by the
10 Department of Economic Development in any calendar year shall not exceed ten
11 million dollars irrespective of the year in which claimed. The department shall by
12 rule establish the method of allocating available tax credits to applicants, including
13 but not limited to a first come, first served system, reservation of tax credits for a
14 specified time period, or other method which the department, in its discretion, may
15 find beneficial to the program. In the event that the total amount of credits granted
16 in any calendar year is less than ten seven million two hundred thousand dollars, any
17 residual amount of unused credits shall carry forward for use in subsequent years and
18 may be granted in addition to the ten seven million two hundred thousand dollar limit
19 for each year.
20 (b) For credits approved on and after July 1, 2015, the following shall apply:
21 (i) The credits approved by the department shall be granted at the rate of
22 three and six-tenths of one percent of the amount of qualified expenditures incurred
23 by the employer for modernization with the credit divided in equal portions for five
24 years, subject to the limitations provided for in other Paragraphs of this Subsection.
25 (ii) The total amount of modernization tax credits granted by the Department
26 of Economic Development in any calendar year shall not exceed seven million two
27 hundred thousand dollars irrespective of the year in which claimed. The department
28 shall by rule establish the method of allocating available tax credits to applicants,
29 including but not limited to a first come, first served system, reservation of tax
30 credits for a specified time period, or other method which the department, in its
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1 discretion, may find beneficial to the program. In the event that the total amount of
2 credits granted in any calendar year is less than seven million two hundred thousand
3 dollars, any residual amount of unused credits shall carry forward for use in
4 subsequent years and may be granted in addition to the seven million two hundred
5 thousand dollar limit for each year.
6 * * *
7 §3085. Tax credit
8 * * *
9 B.(1)(a) The tax credit shall be calculated by the commissioner as seventy-
10 five fifty-four percent of the person's investment for the purposes of earning tax
11 credits.
12 * * *
13 Section 4. R.S. 25:1226.4(C)(1) and (2) are hereby enacted to read as follows:
14 §1226.4. Tax exemptions and credits
15 * * *
16 C.(1) Whenever the governor finds that a concern satisfies the requirements
17 of this Part and the criteria established by rule, he shall advise the commerce board
18 that it may enter into a contract with such cottage industry for a tax credit of up to
19 one thousand five hundred dollars that may be used against the tax liability for state
20 income and corporation franchise taxes related to the operations of the cottage
21 industry within the development zone.
22 (2) In addition to those tax credits provided for in Paragraph (1) of this
23 Subsection, the board may also enter into contracts with eligible cottage industries
24 for a one thousand five hundred dollar tax credit per new employee hired during the
25 taxable year for which the credit is claimed. In order to qualify for this credit, the
26 applicant must have net new hires of one full-time employee or two part-time
27 employees. A full-time employee is a person employed for at least thirty-two hours
28 per week. A part-time employee is a person employed for at least twenty hours per
29 week. In order to qualify as a new hire for purposes of this credit, the employee
30 must have been a resident of the heritage area development zone for at least thirty
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1 days prior to employment. The credit may be applied to any state income tax
2 liability or any state corporate franchise tax liability, but not liabilities for penalty or
3 interest due or outstanding at the time the credit is generated. This credit shall be
4 applicable only to a position that did not previously exist in the business and that is
5 filled by a resident of the development zone who is performing duties in connection
6 with the operation of the business as a regular, full-time employee.
7 * * *
8 Section 5. R.S. 47:34(B)(1), 35(C), 37(C), 227, 265, 287.664, 287.748(B)(1),
9 287.749(B), 287.752(B)(1), 287.753(C), 287.755(C), 287.758(B), 287.759(A) and (C)(3),
10 297(A), (B), (C)(1), (D)(2), (F), (G)(2), (H)(1), (I)(2), (J)(4), (K)(2)(a), (L)(3), (M)(1),
11 (N)(1) and (2), and (P)(2), 297.6(A)(1) and (5), 297.9(A), 6004(A)(2), the heading of 6005,
12 6005(C)(1) and (D)(1), 6008(A), 6009(D)(1), 6012(B), 6013(A), 6017(A), 6018(C),
13 6020(D)(1) and (2)(a), 6022(D)(2)(introductory)(paragraph), 6023(C)(1) and
14 (3)(introductory paragraph), 6025(A)(1), 6026(D)(2) and (3), 6032(C) and (F),
15 6034(C)(1)(a)(ii)(bb), (C)(1)(a)(iii), (C)(1)(c), and (d), 6035(C)(1) and (D), 6036(C)(1)(b)
16 and (I)(2)(a)(i), and 6037(B)(1) and (2)(b), (c), and (d) are hereby enacted to read as follows:
17 §34. Corporation tax credit
18 * * *
19 B.(1) The credit shall be a portion of the state corporate income tax, but not
20 in excess of fifty percent of such tax. Such portion shall be an amount determined
21 by multiplying the number of new employees, as defined in Subsection C of this
22 Section, by the following amounts:
23 (a) one hundred dollars per eligible new employee per taxable year.
24 (b) two hundred dollars per eligible new economically disadvantaged
25 employee per taxable year.
26 (c) two hundred twenty-five dollars per new employee who is a resident of
27 a neighborhood with an unemployment rate of ten percent or more per taxable year.
28 * * *
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1 §35. Neighborhood assistance tax credit
2 * * *
3 C. The division of administration shall grant a tax credit against the state
4 corporate income tax liability. A tax credit of up to seventy percent of the actual
5 amount contributed may be allowed for investment in programs approved by the
6 commissioner of administration. Such credit for any corporation shall not exceed
7 two hundred fifty thousand dollars annually. No tax credit shall be granted to any
8 bank, bank and trust company, insurance company, trust company, national bank,
9 savings association, or building and loan association for activities that are a part of
10 its normal course of business. Any tax credit not used in the period the investment
11 was made may be carried over for the next five succeeding taxable periods until the
12 full credit has been allowed.
13 * * *
14 §37. Tax credit for contributions to educational institutions
15 * * *
16 C. There shall be allowed a credit against the tax liability due under the
17 income tax for donations, contributions, or sales below cost of tangible movable
18 property made to educational institutions in the state of Louisiana. The credit
19 allowed by this Section shall be computed at the rate of forty percent of such
20 property's value, as defined herein, or, in the case of a sale below cost, forty percent
21 of the difference between the price received for the tangible movable property by the
22 taxpayer and the value of the property as defined herein. The credit shall be limited
23 to the total of the tax liability for the taxable year for which it is being claimed and
24 shall be in lieu of the deductions from gross income provided for in R.S. 47:57. The
25 credit shall not be allowed if the taxpayer arbitrarily, capriciously, or unreasonably
26 discriminates against any person because of race, religion, ideas, beliefs, or
27 affiliations.
28 * * *
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1 §227. Offset against tax
2 Every insurance company shall be entitled to an offset against any tax
3 incurred under this Chapter, in the amount of any taxes, based on premiums, paid by
4 it during the preceding twelve months, by virtue of any law of this state.
5 * * *
6 §265. Credits arising from refunds by utilities
7 Whenever a utility refunds to its customers, pursuant to an order of a court
8 or regulatory agency as a result of the denial of a proposed rate increase, an amount
9 or amounts which, if taken as a deduction from gross income in the year paid or
10 accrued, would result in a net loss, then in lieu of such deduction the utility may elect
11 to take a credit against its Louisiana income tax in the amount of the income tax
12 increase which was the sole result of the inclusion of the amount or amounts
13 refunded in gross income in the year or years received irrespective of whether or not
14 the period of limitation provided in R.S. 47:1623 has expired for the year in which
15 the amount refunded was included in gross income. If this credit exceeds the income
16 tax that would be due the State of Louisiana in the year of the refund, computed
17 without the credit, then the excess of this credit may be carried over the following
18 two taxable years.
19 * * *
20 §287.664. Credits arising from refunds by utilities
21 Whenever a utility refunds to its customers, pursuant to an order of a court
22 or regulatory agency as a result of the denial of a proposed rate increase, an amount
23 or amounts which, if taken as a deduction from gross income in the year paid or
24 accrued, would result in a net loss, then in lieu of such deduction the utility may elect
25 to take a credit against its Louisiana income tax in the amount of the income tax
26 increase which was the sole result of the inclusion of the amount or amounts
27 refunded in gross income in the year or years received irrespective of whether or not
28 the period of limitation provided in R.S. 47:1623 has expired for the year in which
29 the amount refunded was included in gross income. If this credit exceeds the income
30 tax that would be due the state of Louisiana in the year of the refund, computed
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1 without the credit, then the excess of this credit may be carried over the following
2 two taxable years.
3 * * *
4 §287.748. Corporation tax credit; re-entrant jobs credit
5 * * *
6 B.(1) The credit shall be one hundred fifty dollars per eligible re-entrant
7 employed, as defined in Subsection C hereof, but shall not exceed fifty percent of
8 corporate income tax.
9 * * *
10 §287.749. Jobs credit
11 * * *
12 B.(1) The credit shall be a portion of the state corporate income tax, but shall
13 not exceed fifty percent of such tax. Such portion shall be an amount determined as
14 follows:
15 (a) One hundred dollars per eligible new employee per taxable year.
16 (b) Two hundred dollars per eligible new economically disadvantaged
17 employee per taxable year.
18 (c) Two hundred twenty-five dollars per new employee who is a resident of
19 a neighborhood with an unemployment rate of ten percent or more per taxable year.
20 * * *
21 §287.752. Tax credit for employment of first-time nonviolent offenders
22 * * *
23 B.(1) The credit shall be two hundred dollars per taxable year per eligible
24 employee.
25 * * *
26 §287.753. Neighborhood assistance tax credit
27 * * *
28 C. The division of administration or its successor shall grant a tax credit
29 against the state corporation income tax as provided in this Section. A tax credit of
30 up to seventy percent of the actual amount contributed may be allowed for
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1 investment in programs approved by the commissioner of administration or his
2 successor. Such credit for any corporation shall not exceed two hundred fifty
3 thousand dollars annually. No tax credit shall be granted to any bank, bank and trust
4 company, insurance company, trust company, national bank, savings association, or
5 building and loan association for activities that are a part of its normal course of
6 business. Any tax credit not used in the period the investment was made may be
7 carried over for the next five succeeding taxable periods until the full credit has been
8 allowed.
9 * * *
10 §287.755. Tax credit for contributions to educational institutions
11 * * *
12 C. There shall be allowed a credit against the tax liability due under the
13 income tax for donations, contributions, or sales below cost of tangible movable
14 property made to educational institutions in the state of Louisiana. The credit
15 allowed by this Section shall be computed at the rate of forty percent of such
16 property's value, as defined herein, or, in the case of a sale below cost, forty percent
17 of the difference between the price received for the tangible movable property by the
18 taxpayer and the value of the property as defined herein. The credit shall be limited
19 to the total of the tax liability for the taxable year for which it is being claimed and
20 shall be in lieu of the deductions from gross income provided for in R.S. 47:57. The
21 credit shall not be allowed if the taxpayer arbitrarily, capriciously, or unreasonably
22 discriminates against any person because of race, religion, ideas, beliefs, or
23 affiliations.
24 * * *
25 §287.758. Tax credit for bone marrow donor expense
26 * * *
27 B. A credit against the taxes otherwise due under this Part for the tax year
28 is allowed to an employer. The amount of the credit is equal to twenty-five percent
29 of the bone marrow donor expense paid or incurred during the tax year by an
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1 employer to provide a program for employees who are potential or who actually
2 become bone marrow donors.
3 * * *
4 §287.759. Tax credit for employee and dependent health insurance coverage
5 A. When any contractor or subcontractor in the letting of any contract for the
6 construction of a public work offers health insurance coverage as provided for in this
7 Section, they shall be eligible for a five percent income tax credit on forty percent
8 of the amount of the contract received in a tax year if eighty-five percent of the full-
9 time employees of each contractor are offered health insurance coverage and each
10 such general contractor or subcontractor pays seventy-five percent of the total
11 premium for such health insurance coverage for each full-time employee who
12 chooses to participate and pays not less than fifty percent of the total premium for
13 health insurance coverage for each dependent of the full-time employee who elects
14 to participate in dependent coverage.
15 * * *
16 C.(1)
17 * * *
18 (3) The credit shall not exceed three million dollars per year.
19 * * *
20 §297. Reduction to tax due
21 A. The tax determined as provided in this Part shall be reduced by one
22 hundred dollars for any taxpayer, taxpayer's spouse, or dependent who is deaf, blind,
23 mentally incapacitated, or has lost the use of one or more limbs. Only one credit is
24 allowed for any one person.
25 B. The tax determined as provided in this Part shall be reduced by the
26 following: a credit for the elderly, a credit for contributions to candidates for public
27 office, an investment credit, a credit for foreign tax, a work incentive credit, jobs
28 credit, and residential energy credits. The amount of these credits shall be the lesser
29 of twenty-five dollars or ten percent of the same credits allowed on the federal
30 income tax return for the same taxable period.
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1 C.(1) There shall be allowed to an individual, as a credit against the tax
2 imposed by this Chapter for the taxable year, an amount equal to the state gasoline
3 and motor fuels taxes and special fuels taxes paid to operate or propel a commercial
4 fishing boat. The credit shall not be allowed for any such taxes for which a refund
5 has been claimed pursuant to the provisions of Part VIII of Chapter 18 of this
6 Subtitle.
7 * * *
8 D. In addition to any other credits against the tax payable on net income
9 which the law allows to an individual taxpayer, the taxpayer shall be entitled to the
10 tax credit against the tax payable on net income provided for as follows:
11 * * *
12 (2) Any taxpayer who so qualifies shall be entitled to a maximum tax credit
13 of twenty-five dollars per child for educational expenses.
14 * * *
15 F. There shall be allowed to an individual, as a credit against the tax imposed
16 by this Chapter for the taxable year, an amount equal to thirty-three and one-third
17 percent of the amount contributed in a family responsibility program under the
18 provisions of R.S. 46:449. The amount of this credit shall not exceed two hundred
19 dollars per year.
20 G. There shall be an environmental equipment purchase tax credit to be
21 determined as follows:
22 * * *
23 (2) The tax credit shall be twenty percent of the purchase price of the
24 equipment if paid for in a single taxable year. If the equipment purchase is financed
25 over two or more taxable years, the tax credit in a taxable year shall be twenty
26 percent of that portion of the original purchase price paid in that taxable year. For
27 partnerships and Subchapter S Corporations, the tax credit shall proportionately pass
28 through to each partner or shareholder in the same percentage in which other shares
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1 of income, gain, loss, deduction or credit are distributed in accordance with the
2 partnership or shareholder agreement.
3 * * *
4 H.(1) The tax determined as provided in this Part shall be reduced by the
5 lesser of the tax due or five thousand dollars per taxable year up to a maximum of
6 five years for each taxpayer meeting all of the following criteria.
7 * * *
8 I. There shall be a bone marrow donor expense tax credit for any individual
9 taxpayer required to file a Louisiana tax return, acting as a business entity authorized
10 to do business in the state, operating as either a sole proprietorship, a partner in a
11 partnership, or as a Subchapter S Corporation, for bone marrow donor expense to be
12 determined as follows:
13 * * *
14 (2) A credit against the taxes otherwise due under this Part for the tax year
15 is allowed to an employer. The amount of the credit is equal to twenty-five percent
16 of the bone marrow donor expense paid or incurred during the tax year by an
17 employer to provide a program for employees who are potential bone marrow donors
18 or who actually become bone marrow donors.
19 * * *
20 J.
21 * * *
22 (4) The amount of the credit per tax year is equal to the least of the tax due,
23 or one hundred percent of the educational expenses, or seven hundred fifty dollars.
24 K.
25 * * *
26 (2)(a) The credit shall be two hundred dollars per taxable year per eligible
27 employee.
28 * * *
29 L.
30 * * *
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1 (3) The total amount of the credit shall be the lesser of the full purchase price
2 including applicable taxes paid by the taxpayer or one hundred dollars. In order to
3 claim the tax credit provided in this Subsection, the qualified taxpayer must submit
4 a certification from his employer that:
5 * * *
6 M.(1) There shall be allowed a credit against the individual income tax for
7 amounts paid as premiums for eligible long-term care insurance. The amount of the
8 credit shall be equal to ten percent of the total amount of premiums paid annually by
9 each individual claiming the credit.
10 * * *
11 N.(1) There shall be allowed a credit against individual income tax due in
12 a taxable year equal to the following amounts incurred by a taxpayer during his tax
13 year if related to the taxpayer's travel or absence from work because of a living organ
14 donation by the taxpayer or the taxpayer's spouse:
15 * * *
16 (2) The credit provided for by this Section shall not exceed ten thousand
17 dollars per organ donation. It shall be allowed against the income tax for the taxable
18 period in which the credit is earned. If the tax credit exceeds the amount of such
19 taxes due, then any unused credit may be carried forward as a credit against
20 subsequent tax liability for a period not to exceed ten years.
21 * * *
22 P.
23 * * *
24 (2) The amount of the credit shall be one thousand dollars, or the total tax
25 liability of the taxpayer, whichever is less. The credit shall be taken in the taxable
26 year in which the construction of the dwelling is completed. Only one tax credit may
27 be granted per dwelling.
28 * * *
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1 §297.6. Reduction to tax due; rehabilitation of residential structures
2 A.(1) There shall be a credit against individual income tax liability due under
3 this Title for the amount of eligible costs and expenses incurred during the
4 rehabilitation of an owner-occupied residential or owner-occupied mixed use
5 structure located in a National Register Historic District, a local historic district, a
6 Main Street District, a cultural products district, or a downtown development district,
7 or such owner-occupied residential structure that has been listed or is eligible for
8 listing on the National Register, or such structure that has been certified by the State
9 Historic Preservation Office as contributing to the historical significance of the
10 district, or a vacant and blighted owner-occupied residential structure located
11 anywhere in the state that is at least fifty years old. The tax credit authorized
12 pursuant to this Section shall be limited to one credit per structure rehabilitated. The
13 total credit shall not exceed twenty-five thousand dollars per structure. In order to
14 qualify for that credit, the rehabilitation costs for the structure must exceed ten
15 thousand dollars.
16 (a) If the credit is for the rehabilitation of an owner-occupied residential
17 structure, the credit shall be twenty-five percent of the eligible costs and expenses
18 of a rehabilitation for which an application for credit has been filed for the first time
19 after July 1, 2011. If the residential structure is owned and occupied by two or more
20 individuals, the applicable percentage shall be based on the sum of all owner-
21 occupants who contribute to the rehabilitation, and the credit will be divided between
22 the owner-occupants in proportion to their contribution to the eligible costs and
23 expenses.
24 (b) If the credit is for the rehabilitation of a vacant and blighted owner-
25 occupied residential structure that is at least fifty years old, the credit shall be fifty
26 percent of the eligible costs and expenses of a rehabilitation for which an application
27 for credit has been filed for the first time after July 1, 2011.
28 * * *
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1 (5) The maximum amount of tax credits allowed by the State Historic
2 Preservation Office to be granted in any calendar year shall not exceed ten million
3 dollars. The granting of credits under this Section shall be on a first-come, first-
4 served basis. If the total amount of credits applied for in any particular year exceeds
5 the aggregate amount of tax credits allowed for that year, the excess will be treated
6 as having been applied for on the first day of the subsequent year.
7 * * *
8 §297.9. Reduction to tax due; amounts paid by certain military servicemembers and
9 dependents for certain hunting and fishing licenses
10 A. There shall be a credit against individual income tax liability due under
11 this Part for amounts paid by an active or reserve military servicemember, or the
12 spouse or dependent of such servicemember, for obtaining a Louisiana
13 noncommercial hunting or fishing license for themselves or their spouses and
14 dependents.
15 * * *
16 §6004. Employer credit
17 A.
18 * * *
19 (2) The credit shall be seven hundred fifty dollars and shall be allowed
20 against the income tax for the taxable period during which the new employee has
21 completed one year of full-time service with the taxpayer or against the corporation
22 franchise tax for the taxable period following the taxable period during which the
23 new employee has completed one year of full-time service with the taxpayer. Only
24 one tax credit shall be allowed for:
25 * * *
26 §6005. Qualified new recycling manufacturing or process equipment and/or and
27 service contracts
28 * * *
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1 C.(1) A taxpayer who purchases qualified new recycling manufacturing or
2 process equipment or qualified service contracts, or both, as defined in this Section
3 and certified by the secretary of the Department of Environmental Quality to be used
4 or performed exclusively in this state shall be entitled to a credit against any income
5 and corporation franchise taxes imposed by the state in an amount equal to twenty
6 percent of the cost of the new recycling manufacturing or process equipment or
7 qualified service contract, or both, less the amount of any other tax credits received
8 for the purchase of such equipment or contract, or both.
9 * * *
10 D.(1) The amount of the credit claimed in the taxable period for which
11 certification of equipment is received, and the amount of credit claimed therefor in
12 each taxable period thereafter, shall not exceed twenty percent of the amount of the
13 total credit allowable. In no case shall the credit claimed exceed fifty percent of the
14 tax liability which would be otherwise due for that taxable period. Any unused
15 credit for a taxable year in which a credit is allowed may be carried forward to
16 subsequent years until the credit is exhausted. Total credits certified by the secretary
17 of the Department of Environmental Quality in any calendar year shall not exceed
18 five million dollars.
19 * * *
20 §6008. Tax credits for donations made to assist playgrounds in economically
21 depressed areas
22 A. There shall be allowed a credit against any Louisiana income or
23 corporation franchise tax for qualified donations made to qualified playgrounds. The
24 credit shall be an amount equal to the lesser of one thousand dollars or one-half of
25 the value of the cash, equipment, goods, or services donated. Any such credit shall
26 be taken as a credit against the applicable tax or taxes only in the taxable period in
27 which the donation is made. The total amount of the credits taken by any taxpayer
28 during any taxable year shall not exceed one thousand dollars.
29 * * *
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1 §6009. Louisiana Basic Skills Training Tax Credit
2 * * *
3 D. Tax credits. (1) Any Louisiana business or industry which satisfies the
4 criteria provided for herein shall, with submission of proper and complete
5 applications, receive a two hundred fifty dollar tax credit per participating employee,
6 with the total of all such basic skills training tax credits not to exceed thirty thousand
7 dollars for any such single business or industry enterprise in a particular tax year.
8 This tax credit may be applied to any state income tax liability or any state
9 corporation franchise tax liability and, if the entire credit cannot be used in the year
10 earned, the remainder may be applied against income tax or corporation franchise tax
11 liabilities for the succeeding two tax years, or until the entire credit is used,
12 whichever occurs first.
13 * * *
14 §6012. Employer tax credits for donations of materials, equipment, advisors, or
15 instructors
16 * * *
17 B. There shall be a credit against any Louisiana income or corporation
18 franchise tax for the donation of the latest technology available in materials,
19 equipment, or instructors made to public training providers, secondary and
20 postsecondary vocational-technical schools, apprenticeship program registered with
21 the Louisiana Workforce Commission, or community colleges within the state. The
22 credit shall be an amount equal to one-half the value of the donated materials,
23 equipment, or services rendered by the instructor. Any such credit shall be taken as
24 a credit against the applicable tax or taxes in the taxable period in which the donation
25 was made. This tax credit, when combined with all other applicable tax credits, shall
26 not exceed twenty percent of the employer's tax liability for any taxable year.
27 * * *
28 §6013. Tax credits for donations made to public schools
29 A. There shall be allowed a credit against the corporate income tax and the
30 corporation franchise tax for qualified donations made to a public school. The credit
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1 shall be an amount equal to forty percent of the appraised value of the qualified
2 donation. Any such credit shall be taken as a credit against the corporate income or
3 corporation franchise tax for the taxable year in which the donation is made. The
4 total of all such credits taken in a taxable year shall not exceed the total tax liability
5 for that taxable year.
6 * * *
7 §6017. Tax credits for certain expenses paid by economic development corporations
8 A. There shall be allowed a credit against any Louisiana income or
9 corporation franchise taxes for the filing fee paid to the Louisiana State Bond
10 Commission that is incurred by an economic development corporation in the
11 preparation and issuance of bonds, as provided for in Chapter 27 of Title 33 of the
12 Louisiana Revised Statutes of 1950. The credit shall be an amount equal to the
13 amount of the filing fee paid to the Louisiana State Bond Commission that is
14 incurred by the corporation in the preparation and issuance of the bonds.
15 * * *
16 §6018. Tax credits for purchasers from "PIE contractors"
17 * * *
18 C. The amount of the credit shall be equal to the state sales and use tax paid
19 by the purchaser on each case or other unit of apparel during the purchaser's tax year
20 as reflected on the books and records of the purchaser during his tax year.
21 * * *
22 §6020. Angel Investor Tax Credit Program
23 * * *
24 D. Tax credits. (1) The total amount of tax credits granted by the
25 department in any calendar year shall not exceed five million dollars. The
26 department shall by rule establish the method of allocating available tax credits to
27 investors including but not limited to a first-come, first-served system, reservation
28 of tax credits for a specific time period, or other method which the department, in its
29 discretion, may find beneficial to the program. If the department does not grant the
30 entire five million dollars in tax credits in any calendar year, the amount of residual
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1 unused tax credits shall carry forward to subsequent calendar years and may be
2 granted in any year without regard to the five million dollar per year limitation.
3 After the approval of an investor pool, the department shall issue a letter identifying
4 the amount of tax credits that are available to that pool; however, no tax credit shall
5 be granted to an investor until the investment has been made in the Louisiana
6 Entrepreneurial Business.
7 (2)(a) An investor may apply for and, if qualified, be granted a credit on any
8 income or corporation franchise tax liability owed to the state by the taxpayer
9 seeking to claim the credit in the amount approved by the secretary of the
10 department. The amount of the tax credit shall be based upon the amount of money
11 invested by the investor in the Louisiana Entrepreneurial Business, which investment
12 shall not exceed one million dollars per year per business and two million dollars
13 total per business. Except as otherwise provided in Subparagraph (b) of this
14 Paragraph, the credit shall be allowed against the income tax for the taxable period
15 in which the credit is earned and the franchise tax for the taxable period following
16 the period in which the credit is earned. The credits approved by the department
17 shall be granted at the rate of thirty-five percent of the amount of the investment with
18 the credit divided in equal portions for five years.
19 * * *
20 §6022. Digital interactive media and software tax credit
21 * * *
22 D. Tax credit; specific projects.
23 * * *
24 (2) For applications for state-certified productions submitted to the office on
25 or after July 1, 2009, and subsequently approved by the office and secretary, there
26 are hereby authorized tax credits which shall be earned by a company at the time
27 funds are expended in Louisiana on a state-certified production as follows:
28 * * *
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1 §6023. Sound recording investor tax credit
2 * * *
3 C. Investor tax credit; state-certified productions and infrastructure projects.
4 (1) Until January 1, 2020, there is hereby authorized a credit against the state income
5 tax for investments made in state-certified productions and state-certified sound
6 recording infrastructure projects. The tax credit shall be earned by investors at the
7 time expenditures are certified by the Louisiana Department of Economic
8 Development according to the total base investment certified for the sound recording
9 production company per calendar year; however, no credit shall be allowed under
10 this Section for any expenditures for which a credit was granted under R.S. 47:6007.
11 For state-certified productions certified on and after July 1, 2007, and state-certified
12 infrastructure projects which have applied on or before August 1, 2009, each investor
13 shall be allowed a tax credit of twenty-five percent of the base investment made by
14 that investor in excess of fifteen thousand dollars or, if a resident of this state, in
15 excess of five thousand dollars.
16 * * *
17 (3)(a) Except as otherwise provided in this Paragraph, the aggregate amount
18 of credits certified for all investors pursuant to this Section during any calendar year
19 shall not exceed three million dollars.
20 * * *
21 §6025. Tax credit for Louisiana Citizens Property Insurance Corporation assessment
22 A.(1) There shall be allowed a credit against Louisiana income tax due in a
23 taxable year for the amount of surcharges, market equalization charges, or
24 assessments paid by a taxpayer during the taxable year as a result of the 2005 regular
25 assessment or the emergency assessments levied due to Hurricanes Katrina and Rita
26 by Louisiana Citizens Property Insurance Corporation for the FAIR Plan and Coastal
27 Plan, as they are defined in R.S. 22:2292.
28 * * *
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1 §6026. Cane River heritage tax credit
2 * * *
3 D.(1)
4 * * *
5 (2) The tax credit authorized by the provisions of this Section shall be for an
6 amount of up to one thousand five hundred dollars, which may be used against the
7 tax liability for state income and corporation franchise taxes related to the operations
8 of the cottage industry within the development zone.
9 (3) In addition, the department may also enter into contracts with eligible
10 cottage industries for a one thousand five hundred dollar tax credit per new employee
11 hired during the taxable year for which the credit is claimed. In order to qualify for
12 this credit, the applicant must have net new hires of one full-time employee or two
13 part-time employees. A full-time employee is a person employed for at least thirty-
14 two hours per week. A part-time employee is a person employed for at least twenty
15 hours per week. In order to qualify as a new hire for purposes of this credit, the
16 employee must have been a resident of the heritage area development zone for at
17 least thirty days prior to employment. The credit may be applied to any state income
18 tax liability or any state corporate franchise tax liability, but shall not be applied to
19 any liabilities for penalty or interest due or outstanding at the time the credit is
20 generated. This credit shall be applicable only to a position that did not previously
21 exist in the business and that is filled by a resident of the development zone who is
22 performing duties in connection with the operation of the business as a regular, full-
23 time employee.
24 * * *
25 §6032. Tax credit for certain milk producers
26 * * *
27 C. Each qualifying taxpayer is eligible for tax credits based on the
28 production and sale of milk below the announced production price over a calendar
29 year in accordance with the following schedule:
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1 Amount of Milk Produced: Amount of Tax Credit:
2 Up to 1,000,000 pounds $ 5,000
3 1,000,001 to 1,500,000 pounds $10,000
4 1,500,001 to 2,000,000 pounds $15,000
5 2,000,001 to 2,500,000 pounds $20,000
6 2,500,001 to 3,000,000 pounds $25,000
7 3,000,001 pounds and above $30,000
8 * * *
9 F. The credit allowed for each producer pursuant to this Section shall not
10 exceed thirty thousand dollars per calendar year. The total aggregate amount of tax
11 credits for all producers provided for under this Section shall be capped at two
12 million five hundred thousand dollars per calendar year.
13 * * *
14 §6034. Musical and theatrical production income tax credit
15 * * *
16 C. Income tax credits for state-certified productions and state-certified
17 musical or theatrical facility infrastructure projects:
18 (1) There is hereby authorized the following types of credits against the state
19 income tax:
20 (a)
21 * * *
22 (ii)
23 * * *
24 (bb) For state-certified higher education musical or theatrical infrastructure
25 projects that receive initial certification on or before January 1, 2018, a base
26 investment credit may be earned for expenditures made in the state on or before
27 January 1, 2022, for the construction, repair, or renovation of a new state-certified
28 higher education musical or theatrical facility infrastructure project, or for
29 investments made by a company or a financier in such infrastructure project that are,
30 in turn, expended for such construction, repair, or renovation. No more than ten
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1 million dollars in tax credits per project or sixty million dollars total in tax credits
2 shall be granted for state-certified higher education musical or theatrical
3 infrastructure projects. Twenty-five percent of the total base investment provided
4 for in the initial certification letter of a state-certified higher education musical or
5 theatrical infrastructure project must be expended on or before January 1, 2020, in
6 order for the project to earn credits for the remaining estimated base investment
7 provided for in the initial certification letter, as expenditures are made in the state on
8 or before January 1, 2022. No credits shall be certified until the state-certified higher
9 education musical or theatrical infrastructure project is complete. The initial
10 certification letter shall be effective for qualified expenditures made no more than
11 six months prior to the date of application. State-certified higher education musical
12 or theatrical infrastructure projects shall not be subject to the provisions of Subitem
13 (cc) of this Item nor shall such projects be subject to the provisions of Subsection H
14 of this Section.
15 * * *
16 (iii) Except as limited for state-certified infrastructure projects as provided
17 for in this Subparagraph, the base investment credit shall be for the following
18 amounts:
19 (aa) If the total base investment is greater than one hundred thousand dollars
20 and less than or equal to three hundred thousand dollars, a company shall be allowed
21 a tax credit of ten percent of the base investment made by that company.
22 (bb) If the total base investment is greater than three hundred thousand
23 dollars and less than or equal to one million dollars, a company shall be allowed a
24 tax credit of twenty percent of the base investment made by that company.
25 (cc) If the total base investment is greater than one million dollars, a
26 company shall be allowed a tax credit of twenty-five percent of the base investment
27 made by that company.
28 * * *
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1 (c) An additional tax credit of one tenth of one percent of the amount
2 expended to employ students enrolled in Louisiana colleges, universities, and
3 vocational-technical schools in a state certified musical or theatrical production in
4 arts-related positions, such as an actor, writer, producer, stagehand, or director, or
5 as a technician working on aspects of the production such as lighting, sound, and
6 actual stage work, or working indirectly on the production in accounting, law,
7 management, and marketing.
8 (d) To the extent that base investment is expended on payroll for Louisiana
9 residents employed in connection with a state-certified musical or theatrical
10 production, except for the students provided for in Subparagraph (c) of this
11 Paragraph, or the construction of a state-certified musical or theatrical facility
12 infrastructure project, a company shall be allowed an additional tax credit of ten
13 percent of such payroll; however, if the amount paid to any one person exceeds one
14 million dollars, the additional credit shall not include any amount paid to that person
15 that exceeds one million dollars.
16 * * *
17 §6035. Tax credit for conversion of vehicles to alternative fuel usage
18 * * *
19 C.(1) The credit provided for in Subsection A of this Section shall be
20 allowed against individual or corporate income tax for the taxable period in which
21 the property is purchased and installed, if applicable, and shall be equal to fifty
22 percent of the cost of the qualified clean-burning motor vehicle fuel property.
23 * * *
24 D. In cases where no previous credit has been claimed pursuant to
25 Subsection C of this Section for the cost of qualified clean-burning motor vehicle
26 fuel property in a new motor vehicle purchased by a taxpayer with qualified
27 clean-burning motor vehicle fuel property installed by the vehicle's manufacturer and
28 the taxpayer is unable to, or elects not to determine the exact cost which is
29 attributable to such property, the taxpayer may claim a credit against individual or
30 corporate income tax for the taxable period in which the motor vehicle is purchased
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1 equal to ten percent of the cost of the motor vehicle or three thousand dollars,
2 whichever is less, provided the motor vehicle is registered in this state.
3 * * *
4 §6036. Ports of Louisiana tax credits
5 * * *
6 C. Investor tax credit. (1)(a) There are hereby authorized the following
7 credits against state income and corporate franchise tax:
8 * * *
9 (b) The Investor Tax Credit provided for in this Subsection shall be granted
10 by the Department of Economic Development for a qualifying project if the
11 commissioner of administration, after approval of the Joint Legislative Committee
12 on the Budget, and the state bond commission certifies to the secretary of the
13 department that securing the project will result in a significant positive economic
14 benefit to the state. "Significant positive economic benefit" means net positive tax
15 revenue that shall be determined by taking into account direct, indirect, and induced
16 impacts of the project based on a standard economic impact methodology utilized
17 by the commissioner, and the value of the credit, and any other state tax and financial
18 incentives that are used by the department to secure the project. If the commissioner
19 with the approval of the committee so certifies, then the Department of Economic
20 Development may grant a tax credit equal to the total capital costs of such qualifying
21 project to be taken at five percent per tax year or shall grant such other amount of tax
22 credit to be taken at such other percentage which is warranted by the significant
23 positive economic benefit determined by the commissioner, but no tax credit granted
24 for a qualifying project shall exceed two million five hundred thousand dollars per
25 tax year. However, the total amount of tax credits granted on a qualifying project
26 shall not exceed the total cost of the project. In addition, the investor tax credits
27 granted by the department to any recipient pursuant to this Section shall be limited
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1 to an amount which shall not result in a reduction of tax liability by all recipients of
2 such credits to exceed six million two hundred fifty thousand dollars in any fiscal
3 year.
4 * * *
5 I. Import-export cargo tax credit.
6 * * *
7 (2)(a)(i) For taxable years beginning on and after January 1, 2014, there shall
8 be allowed a credit against the individual income, corporation income, and
9 corporation franchise tax liability of a taxpayer who has received certification
10 pursuant to the provisions of Paragraph (1) of this Subsection; provided that the
11 credit shall be allowed only against the tax liability of the international business
12 entity which receives the certification. The amount of the credit shall be equal to the
13 product of multiplying five dollars by the taxpayer's number of tons of qualified
14 cargo for the taxable year which exceeds the pre-certification tonnage or the product
15 of multiplying the number of dollars by the taxpayer's number of tons of qualified
16 cargo for the taxable year or portion of a taxable year which exceeds the pre-
17 certification tonnage which is warranted by the significant positive economic benefit
18 determined by the commissioner pursuant to Item (ii) of this Subparagraph,
19 whichever is less. For purposes of this Item, "pre-certification tonnage" means the
20 number of tons of cargo which meets the definition of qualified cargo for purposes
21 of this credit, and which was owned by the international business entity receiving the
22 credit, were imported or exported to or from a manufacturing, fabrication, assembly,
23 distribution, processing, or warehouse facility located in Louisiana, and which were
24 so moved by way of an oceangoing vessel berthed at public port facilities in
25 Louisiana during the 2013 calendar year. However, each tax credit granted to a
26 taxpayer shall be subject to the same limit as is provided for a qualifying project
27 pursuant to Subparagraph (C)(1)(b) of this Section. In addition, the import-export
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1 cargo tax credits granted by the department to any recipient pursuant to this Section
2 shall be limited to an amount which shall not result in a reduction of tax liability by
3 all recipients of such credits to exceed six million two hundred fifty thousand dollars
4 in any fiscal year.
5 * * *
6 §6037. Tax credit for "green job industries"
7 * * *
8 B. Income tax credits for state-certified green projects:
9 (1) There is hereby authorized a base investment tax credit for certified,
10 verified, and approved expenditures in the state for the construction, repair, or
11 renovation of a state-certified green project, or for investments made by a company
12 or a financier in such project which are, in turn, expended for such construction,
13 repair, or renovation, not to exceed one million dollars per state-certified green
14 project. No more than five million dollars in tax credits under this Section shall be
15 granted for state-certified green projects per year.
16 * * *
17 (2)(a) Tax credits for state-certified green projects shall be earned only as
18 follows:
19 * * *
20 (b) The base investment credit for state-certified green projects shall be for
21 the following amounts:
22 (i) If the total base investment is greater than one hundred thousand dollars
23 and less than or equal to three hundred thousand dollars, a company shall be allowed
24 a tax credit of ten percent of the base investment made by that company.
25 (ii) If the total base investment is greater than three hundred thousand dollars
26 and less than or equal to one million dollars, a company shall be allowed a tax credit
27 of twenty percent of the base investment made by that company.
28 (iii) If the total base investment is greater than one million dollars, a
29 company shall be allowed a tax credit of twenty-five percent of the base investment
30 made by that company.
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1 (c) To the extent that base investment is expended on payroll for Louisiana
2 residents employed in connection with the construction of a state-certified green
3 project, a company shall be allowed an additional tax credit of ten percent of the
4 payroll; however, if the amount paid to any one person exceeds one million dollars,
5 the additional credit shall not include any amount paid to that person that exceeds
6 one million dollars.
7 (d) To the extent that base investment is expended on payroll for Louisiana
8 residents employed in connection with a state-certified green project, who are
9 graduates of an institution within the Louisiana Community and Technical College
10 System or graduates of an apprenticeship program registered with the Louisiana
11 Workforce Commission, each investor shall be allowed an additional tax credit of
12 one percent of such payroll.
13 * * *
14 Section 6. R.S. 51:1807(C), 2354(A) and (B), 2399.3(A)(2)(a) and (b), and
15 3085(B)(1)(a) are hereby amended and reenacted to read as follows:
16 §1807. Incentives
17 * * *
18 C. The board, after consultation with the secretaries of the Department of
19 Economic Development and the Department of Revenue and with the approval of the
20 governor, may enter into contracts to provide for a five thousand dollar tax credit per
21 net new employee as determined by the company's average annual employment
22 reported under the Louisiana Employment Security Law. This tax credit may be
23 applied to any state income tax liability or any state franchise tax liability and shall
24 be used for the taxable year in which the increase in average annual employment
25 occurred. However, if the entire credit cannot be used in the year earned, the excess
26 of the credit over the aggregate tax liabilities against which the credit can be applied
27 shall constitute an overpayment, as defined in R.S. 47:1621(A), and the secretary
28 shall make a refund of such overpayment from the current collections of the taxes
29 imposed by Chapter 1 and Chapter 5 of Subtitle II of Title 47 of the Louisiana
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1 Revised Statutes of 1950, as amended. The right to a refund of any such
2 overpayment shall not be subject to the requirement of R.S. 47:1621(B).
3 * * *
4 §2354. Technology commercialization credit; amount; duration; forfeit
5 A. Except as provided in Subsection B of this Section, the taxpayer may earn
6 and apply for and, if qualified, be granted a refundable tax credit which may be
7 applied to any income or corporation franchise tax liability owed to the state by the
8 taxpayer seeking to claim the credit, equal in value to forty percent of the amount of
9 money invested by the taxpayer applicant in commercialization costs for one
10 business location meeting the requirements of R.S. 51:2353(C)(1) and (2) as certified
11 by the Department of Economic Development.
12 B. A tax credit granted pursuant to this Part shall expire and have no value
13 or effect on tax liability beginning with the twenty-first tax year after the tax year in
14 which it was originally earned, applied for, and granted. An applicant that meets the
15 requirements of R.S. 51:2353 and is approved by the Department of Economic
16 Development may receive a refundable tax credit based on new jobs for the period
17 of time approved which shall be equal to six percent multiplied by the gross payroll
18 of new direct jobs meeting the requirements of R.S. 51:2353(C)(3) and (4) as
19 certified by the Department of Economic Development.
20 * * *
21 §2399.3. Modernization tax credit
22 A.
23 * * *
24 (2)(a) The credits approved by the department shall be granted at the rate of
25 five percent of the amount of qualified expenditures incurred by the employer for
26 modernization with the credit divided in equal portions for five years, subject to the
27 limitations provided for in other Paragraphs of this Subsection.
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1 (b) The total amount of modernization tax credits granted by the Department
2 of Economic Development in any calendar year shall not exceed ten million dollars
3 irrespective of the year in which claimed. The department shall by rule establish the
4 method of allocating available tax credits to applicants, including but not limited to
5 a first come, first served system, reservation of tax credits for a specified time period,
6 or other method which the department, in its discretion, may find beneficial to the
7 program. In the event that the total amount of credits granted in any calendar year
8 is less than ten million dollars, any residual amount of unused credits shall carry
9 forward for use in subsequent years and may be granted in addition to the ten million
10 dollar limit for each year.
11 * * *
12 §3085. Tax credit
13 * * *
14 B.(1)(a) The tax credit shall be calculated by the commissioner as seventy-
15 five percent of the person's investment for the purposes of earning tax credits.
16 * * *
17 Section 7.(A) Except as provided for in Subsection (B) of this Section, the
18 provisions of Sections 1, 2, and 3 of this Act shall apply to a claim for a credit on any return
19 filed on or after July 1, 2015, but before June 30, 2018, regardless of the taxable year to
20 which the return relates.
21 (B) The provisions of Sections 1, 2, and 3 of this Act shall not apply to an amended
22 return filed on or after July 1, 2015, but before June 30, 2018, relating to a credit properly
23 claimed on an original return filed prior to July 1, 2015.
24 (C) If a return is filed after July 1, 2015, but before June 30, 2018, for which a valid
25 filing extension has been allowed prior to July 1, 2015, then any portion of the credit reduced
26 by the provisions of Sections 1, 2, or 3 of this Act shall be allowed as a credit in the amount
27 of one-third of the reduced portion of the credit on the taxpayer's return for each of the
28 taxable years beginning during calendar years 2017, 2018, and 2019.
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1 Section 8. The provisions of Sections 1, 2, and 3 of this Act shall become effective
2 on July 1, 2015 and shall remain effective through June 30, 2018. The provisions of
3 Sections 4, 5, and 6 of this Act shall become effective on July 1, 2018 and shall apply to
4 original returns filed on or after July 1, 2018.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
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