HLS 15RS-1220 ORIGINAL
2015 Regular Session
HOUSE BILL NO. 755
BY REPRESENTATIVE LEGER
TAX CREDITS: Reduces the amount of the individual income tax credit for taxes paid to
other states
1 AN ACT
2To amend and reenact R.S. 47:33(A)(1) and (2) and to enact R.S. 47:33(A)(4), relative to
3 income taxes; to provide for individual income tax credit; to limit the amount of the
4 credit; to make the credit nonrefundable; to provide a carryforward period for
5 unapplied credits; to provide for effectiveness; and to provide for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 47:33(A)(1) and (2) are hereby amended and reenacted and R.S.
847:33(A)(4) is hereby enacted to read as follows:
9 ยง33. Credit for taxes paid in other states
10 A. Subject to the following conditions, resident individuals shall be allowed
11 a credit against the taxes imposed by this Chapter for net income taxes imposed by
12 and paid to another state on income taxable under this Chapter, provided that:
13 (1) The credit shall be allowed only for taxes paid to the other state on
14 income which is taxable under its law irrespective of the residence or domicile of the
15 recipient. The amount of the credit shall never exceed the amount of tax that would
16 have been due and payable to the State of Louisiana under Chapter 1 of Subtitle II
17 of Title 47 of the Louisiana Revised Statutes of 1950, had the income taxed in the
18 other state been earned and taxable in this state.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 15RS-1220 ORIGINAL
HB NO. 755
1 (2) If accrued taxes when paid differ from the amounts claimed as credits by
2 the taxpayer, or if any tax paid is refunded in whole or in part, the taxpayer shall
3 notify the secretary who shall redetermine the amount of the tax for the year or years
4 affected, and the amount of tax due upon such redetermination, if any, shall be paid
5 by the taxpayer upon notice and demand by the secretary, or the amount of tax
6 overpaid, if any, shall be credited or refunded to the taxpayer in accordance with the
7 provisions of R.S. 47:261 et seq. In the case of such tax accrued but not paid, the
8 secretary as a condition precedent to the allowance of this credit may require the
9 taxpayer to give a bond with sureties approved by the secretary in such sum as the
10 secretary may require, conditioned upon the payment by the taxpayer of any amount
11 of tax found due upon any such redetermination, and the bonds herein prescribed
12 shall contain such further conditions as the secretary may require.
13 * * *
14 (4) If the tax credit allowed pursuant to this Section exceeds the amount of
15 taxes due for the same taxable period as that for which the tax liability to the other
16 state arose, then any unused credit may be carried forward as a credit against
17 subsequent tax liability for a period not to exceed five years.
18 * * *
19 Section 2. The provisions of this Act shall become effective for all taxable periods
20beginning on or after January 1, 2016.
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 755 Original 2015 Regular Session Leger
Abstract: Reduces the amount of the individual income tax credit for taxes paid to other
states.
Present law allows taxpayers to receive a credit for the full amount of income tax paid in
other states.
Proposed law reduces the credit to the amount that would have been due and payable had the
income been earned and taxable in the state of LA.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 15RS-1220 ORIGINAL
HB NO. 755
Present law provides for the refundability of the credit for taxes paid in other states.
Proposed law eliminates the refundability of the credit and establishes a five year
carryforward period.
Effective for all taxable periods beginning on or after January 1, 2016.
(Amends R.S. 47:33(A)(1) and (2); Adds R.S. 47:33(A)(4))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.