HLS 162ES-60 ORIGINAL
2016 Second Extraordinary Session
HOUSE BILL NO. 37
BY REPRESENTATIVE SMITH
TAX/INCOME-CREDIT: Reduces the amount of the income tax credit for the Louisiana
Citizens Property Insurance Corporation Assessment and makes the reduction
permanent (Item #46)
1 AN ACT
2To amend and reenact R.S. 47:6025(A)(1), relative to income tax credits; to provide for the
3 Louisiana Citizens Property Insurance Corporation assessment tax credit; to reduce
4 the amount of the credit; to repeal the sunset of the reduction in the amount of the
5 credit; to provide for effectiveness; and to provide for related matters.
6Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 47:6025(A)(1) is hereby amended and reenacted to read as follows:
8 ยง6025. 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 twenty-five 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 Section 2. The provisions of this Act shall apply to all credits provided for in R.S.
1747:6025 claimed on any return filed for any taxable year beginning on or after January 1,
182016.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 162ES-60 ORIGINAL
HB NO. 37
1 Section 3. Notwithstanding Section 8 of Act No. 125 of the 2015 Regular Session
2of the Legislature, R.S. 47:6025(A)(1) as amended by Section 5 of that Act shall not become
3effective.
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 37 Original 2016 Second Extraordinary Session Smith
Abstract: Reduces the amount of the La. Citizens Property Insurance Corporation
Assessment income tax credit and makes the reduction permanent.
Present law provides an income tax credit against La. income tax for the surcharges, market
equalization charges, or assessments paid by a taxpayer for the La. Citizens Property
Insurance Corporation assessments due to Hurricanes Katrina and Rita. The amount of the
tax credit is equal to 72% of the amount of the surcharges, market equalization charges, or
assessments paid.
Present law relative to the amount of the credit sunsets on June 30, 2018. Further reinstates
the full credit amount of 100% of the amount of the surcharges, market equalization charges,
or assessments paid beginning July 1, 2018.
Proposed law reduces the amount of the credit from 72% to 25% of the amount of the
surcharges, market equalization charges, or assessments paid. Further repeals the sunset of
the reduction, thereby making the reduction permanent.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 47:6025(A)(1))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.