2016 Second Extraordinary Session ENROLLED
SENATE BILL NO. 10
BY SENATOR WARD
1 AN ACT
2 To amend and reenact R.S. 47:2327 and 6006(C)(3) and to enact R.S. 47:6006(B)(3),
3 relative to the ad valorem tax on inventories and related income tax credits; to
4 provide with regard to the confidentiality of tax records; to provide with regard to
5 the definition of manufacturer for the purpose of tax credits for local inventory taxes
6 paid; to provide for certain limitations; to provide for effectiveness; and to provide
7 for related matters.
8 Be it enacted by the Legislature of Louisiana:
9 Section 1. R.S. 47:2327 is hereby amended and reenacted to read as follows:
10 §2327. Confidentiality of forms
11 Forms filed by a taxpayer pursuant to this Act Part shall be confidential and
12 shall be used by the assessor, the governing authority, and the Louisiana Tax
13 Commission, and the Louisiana Department of Revenue, solely for the purpose
14 of administering the provisions of this Act Part and verifying eligibility for tax
15 credits claimed under R.S. 47:6006. Such forms shall not be subject to the
16 provisions relative to public records as set forth in Title 44 of the Louisiana Revised
17 Statutes of 1950 of the Public Records Law, provided however, that such forms
18 shall be admissible in evidence and subject to discovery in judicial or administrative
19 proceedings according to general law relating to the production and discovery of
20 evidence.
21 Section 2. R.S. 47:6006(C)(3) is hereby amended and reenacted and R.S.
22 47:6006(B)(3) is hereby enacted to read as follows:
23 §6006. Tax credits for local inventory taxes paid
24 * * *
25 B. * * *
ACT No. 5
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1 (3) Notwithstanding any provision in this Section to the contrary, for a
2 manufacturer, as defined in Subparagraph (b) of Paragraph (3) of Subsection
3 C of this Section, and for all related parties, affiliates, subsidiaries, parent
4 companies, or owners of such manufacturer for the inventory held that is
5 related to the business of such manufacturer, if the amount of the credit
6 authorized pursuant to Subsection A of this Section exceeds the amount of tax
7 liability for the tax year, the excess credit may only be carried forward as a
8 credit against subsequent Louisiana income or corporation franchise tax
9 liability for a period not to exceed five years and shall not be refundable. The
10 secretary shall promulgate rules to ensure that taxpayers affiliated with or
11 related to any other entity through common ownership by the same interests or
12 as a parent or subsidiary shall be considered one taxpayer for the purpose of the
13 limitations on refundability provided for in this Paragraph. This rulemaking
14 authority shall be in addition to the rulemaking authority provided for
15 elsewhere in this Title.
16 C. For purposes of this Section, the following terms shall have the meanings
17 ascribed to them:
18 * * *
19 (3) "Manufacturer" means a shall mean one of the following:
20 (a) A person engaged in the business of working raw materials into wares
21 suitable for use or which gives new shapes, qualities, or combinations to matter
22 which already has gone through some artificial process.
23 (b) A person who meets the definition of "manufacturer" as provided in
24 Subparagraph (a) of this Paragraph and who has claimed the ad valorem
25 exemption under Article VII, Section 21(F) of the Constitution of Louisiana
26 during the taxable year in which the local inventory taxes were levied.
27 * * *
28 Section 3.(A) The provisions of Section 2 of this Act shall apply to all claims for
29 these credits, as provided for in this Act, on any return filed on or after July 1, 2016,
30 regardless of the date of the taxable year to which the return relates.
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1 (B) The provisions of Section 2 of this Act shall not apply to an amended return filed
2 on or after July 1, 2016, provided that these credits, as provided for in this Act, were
3 properly claimed on an original return filed prior to July 1, 2016.
4 Section 4. This Act shall become effective upon signature by the governor or, if not
5 signed by the governor, upon expiration of the time for bills to become law without signature
6 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
7 vetoed by the governor and subsequently approved by the legislature, this Act shall become
8 effective on the day following such approval.
PRESIDENT OF THE SENATE
SPEAKER OF THE HOUSE OF REPRESENTATIVES
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
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