HLS 16RS-1144 ORIGINAL
2016 Regular Session
HOUSE BILL NO. 707
BY REPRESENTATIVE JACKSON
STATE GRANTS: Authorizes a rebate for donations to certain public schools
1 AN ACT
2To enact Chapter 3-A of Subtitle VII of Title 47 of the Louisiana Revised Statutes of 1950,
3 to be comprised of R.S. 47:6311, relative to rebates; to authorize a rebate for
4 donations to certain public schools; to provide for the amount and issuance of the
5 rebate; to provide for certain requirements and limitations; to provide for
6 applicability; to provide for an effective date; and to provide for related matters.
7Be it enacted by the Legislature of Louisiana:
8 Section 1. Chapter 3-A of Subtitle VII of Title 47 of the Louisiana Revised Statutes
9of 1950, comprised of R.S. 47:6311, is hereby amended and reenacted to read as follows:
10 CHAPTER 3-A. REBATES FOR DONATIONS TO PUBLIC SCHOOLS
11 ยง6311. Rebates; donations to public schools
12 A.(1) There shall be allowed a rebate for donations a taxpayer makes during
13 a taxable year to public schools which received a letter grade of "B", "C", "D", or "F"
14 for the most recent year pursuant to the Louisiana School and District Accountability
15 System. In order to qualify for the rebate, the donation shall be made by a taxpayer
16 who files a Louisiana income tax return.
17 (2) The donation shall be used by the public school for purchasing
18 instructional materials and supplies used in classrooms or in tutorial programs to
19 enhance student learning, for costs and expenses in establishing and maintaining
20 tutorial programs designed to enhance student academic achievement, for costs and
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HB NO. 707
1 expenses in establishing and maintaining in-school child care programs for student
2 parents, for school based health clinics, or for meeting any of the requirements
3 prescribed for academically unacceptable schools prescribed for in Chapter 16 of
4 LAC 28:LXXXIII.
5 (3)(a) The amount of the rebate for a donation made to a public school that
6 received a letter grade of "B", "C", "D", or "F" or any variation thereof for the most
7 recent year, pursuant to the Louisiana School and District Accountability System,
8 shall be equal to seventy-five percent of the taxpayer's donation.
9 (b) No rebate shall be issued for a donation to a public school that received
10 a letter grade of "A" or any variation thereof, pursuant to the Louisiana School and
11 District Accountability System.
12 (4) The Department of Revenue shall provide a standardized format for a
13 receipt to be issued by the public school to the taxpayer. The receipt shall indicate
14 the amount of the donation to the public school and the letter grade the public school
15 received pursuant to the Louisiana School and District Accountability System. The
16 receipt shall also include certification by the public school that the donation will be
17 used for one of the authorized purposes provided for in Paragraph (2) of this
18 Subsection. The Department of Revenue shall require a taxpayer to provide a copy
19 of the receipt when claiming the rebate authorized by this Section.
20 (5)(a) The governing authority of the public school which has received a
21 donation eligible for a rebate pursuant to this Section shall provide a public report
22 to the Department of Revenue which shall be prepared by a certified public
23 accountant and shall be submitted to the department no later than the first day of
24 January each year. The report shall contain the name and address of the public
25 school, the total number and total dollar amount of donations received during the
26 previous fiscal year, the total amount of contributions made by each contributor
27 during the previous calendar year, and the social security number or Louisiana
28 taxpayer identification number of each contributor.
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HB NO. 707
1 (b) Upon receipt of the report, the Department of Revenue shall prepare from
2 its records as an addendum to each report, the amount and date of issuance of each
3 rebate issued for a donation made to such school pursuant to this Section. The
4 release of this information shall not be a violation of R.S. 47:1508.
5 (c) An electronic format for this report shall be furnished to the Department
6 of Education by the Department of Revenue on or by the first day of February of
7 each year.
8 B. The total amount of rebates that shall be issued pursuant to the provisions
9 of this Section shall not exceed ten million dollars per calendar year; however, in any
10 year in which the amount of rebates awarded reaches ninety percent of the current
11 year annual cap, the annual cap for the next year shall be increased by twenty
12 percent.
13 C. The Department of Revenue shall approve rebates on a first-come, first-
14 served basis until the maximum amount of rebates has been issued starting on
15 January first for income tax years ending prior to that date; however, all rebate
16 requests received on the same business day shall be treated as received at the same
17 time, and if the aggregate amount of rebate requests received on a single business
18 day exceeds the total amount of available rebates, rebates shall be approved on a pro
19 rata basis.
20 D. Notwithstanding any provision of law to the contrary, the secretary of the
21 Department of Revenue shall make the rebate authorized pursuant to the provisions
22 of this Section from the current collections of the taxes imposed by this Title as
23 amended.
24 Section 2. The provisions of this Act shall become effective on January 1, 2017, and
25shall be applicable to donations made to a public school for the 2017-2018 school year and
26thereafter.
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HB NO. 707
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 707 Original 2016 Regular Session Jackson
Abstract: Authorizes a rebate for donations to public schools which received a letter grade
of "B", "C", "D", or "F" for the most recent year.
Proposed law authorizes a rebate of 75% of donations a taxpayer makes during a taxable
year to public schools which received a letter grade of "B", "C", "D", or "F" for the most
recent year pursuant to the La. School and District Accountability System. In order to
qualify for the rebate, the donation must be made by a taxpayer who files a state income tax
return.
Proposed law requires that donations be used by the public school for purchasing
instructional materials and supplies, for costs and expenses in establishing and maintaining
tutorial programs, for costs and expenses in establishing and maintaining in-school child care
programs, school based health clinics, or for meeting any of the requirements prescribed for
academically unacceptable schools.
Proposed law requires the Dept. of Revenue (DOR) to provide the format for a receipt that
indicates the amount of the donation and the letter grade of the public school that received
the donation. Further requires the receipt to include certification from the public school that
the donation will be used for one of the authorized purposes provided for in proposed law.
The taxpayer shall provide a copy of the receipt when claiming the rebate.
Proposed law requires the governing authority of a public school which received a donation
to provide a public report prepared by a certified public accountant to the DOR no later than
Jan. 1
st
of each year. Further requires the report to contain the name and address of the
public school, the total number and total dollar amount of donations received during the
previous fiscal year, the total amount of contributions made by each contributor during the
previous calendar year, and the social security number or La. taxpayer identification number
of each contributor.
Proposed law requires the DOR to prepare, as an addendum to each report, the amount and
date of issuance of each rebate issued pursuant to proposed law. Provides that the release
of such information shall not be a violation of the present law provisions relative to the
confidentiality of tax records. Requires DOR to furnish an electronic format for this report
to the Dept. of Education on or by the first day of February of each year.
Proposed law limits the total amount of rebates issued pursuant to proposed law to $10
million per calendar year; however, in any year that the amount of rebates awarded reaches
90% of the current year annual cap, the annual cap for the next year shall be increased by
20%. Requires DOR to approve rebates, starting on Jan. 1
st
for income tax years ending
prior to that date, on a first-come, first-served basis until the maximum amount of rebates
has been issued.
Proposed law requires rebates to be paid from the current collections of the taxes imposed
by present law.
Effective Jan. 1, 2017, and shall be applicable to donations made to a public school for the
2017-2018 school year and thereafter.
(Adds R.S. 47:6311)
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