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 717 Engrossed 2016 Regular Session Stokes
Abstract: Provides for the disposition of all state taxes, interest, and penalties collected by the
Dept. of Revenue and designates a portion of these collections to be self-generated revenue
of the department.
Proposed law provides that beginning July 1, 2016, an amount equal to 1% of the state taxes and
interest collected by or on behalf of the Dept. of Revenue (DOR) shall be designated as self-
generated revenue of the department.
Proposed law provides, with respect to penalties collected by DOR, that from July 1, 2016, and
thereafter, no more than 25% of penalties shall be designated as self-generated revenue of DOR and
the remaining balance of penalties shall be deposited into the state general fund.
Proposed law requires the self-generated revenues to be used by DOR for the administration and
collection of taxes and for operation of the department.
Proposed law exempts amounts collected by DOR that are required to be deposited into the
Transportation Trust Fund or any other taxes required to be deposited into other special treasury
funds pursuant to present constitution from the provisions of proposed law.
Present law authorizes an interagency transfer between the DOR and the Board of Tax Appeals in
lieu of filing fees.
Proposed law changes present law to require rather than authorize the interagency transfer. For FY
2016-17, fixes the amount of the monies transferred at 1/100th of 1% of taxes and fees retained by
DOR according to the official forecast adopted by the Revenue Estimating Conference. Beginning
FY 2017-18, sets the annual amount as the amount appropriated for the prior fiscal year together with
any adjustment made by agreement between the secretary and the board.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends ยง2 of Act No. 198 of the 2014 R.S.; Adds R.S. 47:1608)
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Appropriations to the original
bill: 1. Change the determination of the amount annually allocated to the Board of Tax Appeals.
2. Change the percentage of penalties that shall be designated as self-generated revenue of
the department in FY 2016-17 and 2017-18 from an amount that is reduced over time to
a fixed amount not more than 25%.
3. Add specification that proposed law also applies to taxes and interest collected by DOR
pursuant to present law relative to alcoholic beverages.
4. Make technical changes.