HLS 161ES-16 ORIGINAL
2016 First Extraordinary Session
HOUSE BILL NO. 7
BY REPRESENTATIVE JACKSON
TAX/CORP INCOME-EXEMPT: Provides relative to corporate income exclusions for
dividend income from certain banking institutions (Item #15)
1 AN ACT
2To amend and reenact R.S. 47:287.71(B)(6), relative to corporate income tax; to provide for
3 an exclusion from corporate gross income; to increase the amount of the exclusion
4 for certain dividend income; and to provide for related matters.
5Be it enacted by the Legislature of Louisiana:
6 Section 1. R.S. 47:287.71(B)(6) is hereby amended and reenacted to read as follows:
7 ยง287.71. Modifications to federal gross income
8 * * *
9 B. There shall be subtracted from gross income determined under federal
10 law, unless already excluded therefrom, the following items:
11 * * *
12 (6) Seventy-two percent of the amounts Amounts received as dividend
13 income from banking corporations organized under the laws of Louisiana, from
14 national banking corporations doing business in Louisiana, and from capital stock
15 associations whose stock is subject to ad valorem taxation.
16 * * *
17 Section 2. The provisions of this Act shall apply to all exclusions from taxable
18income as provided for in R.S. 47:287.71(B)(6) claimed on any return filed for any taxable
19year beginning on or after January 1, 2015.
Page 1 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 161ES-16 ORIGINAL
HB NO. 7
1 Section 3. Notwithstanding Section 6 of Act No. 123 of the 2015 Regular Session
2of the Legislature, the provisions of Section 3 of that Act that amended and reenacted R.S.
347:287.71(B)(6) shall not become effective and are hereby repealed.
4 Section 4. This Act shall become effective upon signature by the governor or, if not
5signed by the governor, upon expiration of the time for bills to become law without signature
6by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
7vetoed by the governor and subsequently approved by the legislature, this Act shall become
8effective on the day following such approval.
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 7 Original 2016 First Extraordinary Session Jackson
Abstract: Increases the amount of the corporate income exclusion for dividend income
received from certain banking institutions from 72% to 100% of the amount of
dividend income.
Present law excludes from corporate income 72% of the amount of dividend income
received from certain banking institutions.
Proposed law increases the exclusion from 72% of the amount of dividend income to 100%
of dividend income.
(Amends R.S. 47:287.71(B)(6))
Page 2 of 2
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.