RÉSUMÉ DIGEST
ACT 400 (SB 79) 2017 Regular Session Luneau
New law amends certain income tax credits and sales tax exemptions as follows:
(1)(R.S. 47:227) Corporate income tax offset for state insurance premium taxes paid is
increased from 72% to 100%.
(2)(R.S. 47:287.759) Income tax credits for employee and dependent health insurance
from 3 6/10ths% to 4% on 40% of the amount of the contract received in a tax year
if 85% of the full-time employees of each contractor are offered health insurance and
each contractor or sub-contractor pays 75% of the premium for each full-time
employee.
(3)(R.S. 47:297(B)) Income tax credits for elderly, contributions to candidate for public
office, investments, foreign taxes, work incentive, jobs, and residential energy credits
from 7 2/10ths% to 7%.
(4)(R.S. 47:297(G)) Income tax credit for environmental equipment purchase from 14
4/10ths% to 14%.
(5)(R.S. 47:297.6) Income tax reduction for rehabilitation of owner-occupied residential
structures from 18 ½% to 18% of the eligible costs and expenses.
(6)(R.S. 47:6005) Sales tax exemption for purchase of new recycling manufacturing or
process equipment and service contracts from 14 4/10ths% to 14% of the cost of the
equipment or contract.
(7)(R.S. 47:6013) Corporate income and franchise tax credit for donations made to a
public school from 28 8/10ths% to 28%.
(8)(R.S. 47:6020) Angel Investor Tax Credit from 25 2/10ths% to 25% of the amount
of investment.
(9)(R.S. 47:6022) Corporate Income tax credit for digital interactive media and software
from 7 2/10ths% to 7%.
(10)(R.S. 47:6034) Income tax credit for musical and theatrical production where total
base investment is between $100,000 and $300,000 from 7 2/10ths% to 7%; and
where the total base investment is between $300,000 and $1 million from 14
4/10ths% to 14%; and if the base investment is spent on payroll for Louisiana
residents, an additional credit from 7 2/10ths% to 7%.
(11)(R.S. 47:6037) Income tax credit for green jobs industries where total base
investment is between $100,000 and $300,000 from 7 2/10ths% to 7%; and where
the total base investment is between $300,000 and $1 million from 14 4/10ths% to
14%; and if the base investment is spent on payroll for Louisiana residents, an
additional $1 million credit from 7 2/10ths% to 7%.
(12)(R.S. 51:2354) Technology commercialization credit from 28 8/10ths% to 29% of
the money invested in commercialization costs for one business location; and a credit
for new jobs created from 4 32/100ths% to 4%.
(13)(R.S. 51:2399.3) Modernization credit approved on or after July 1, 2015, from 3
6/10ths% to 4%.
New law repeals the sunset date (June 30, 2018) for the 28% reductions to the following tax
credits contained in Act No. 125 of the 2015 RS, as amended by Act No. 29 of the 2016 1st
ES, thereby providing for the continued effectiveness of the 28% reductions:
(1)R.S. 25:1226.4 Atchafalaya Trace Heritage Area Development Zone tax credit
(2)R.S. 47:34 Corporation tax credit (3)R.S. 47:35 Neighborhood assistance tax credit
(4)R.S. 47:37 Credit for contributions to educational institutions
(5)R.S. 47:265 Credits arising from refunds by utilities
(6)R.S. 47:287.664 Credits arising from refunds by utilities
(7)R.S. 47:287.748 Corporation tax credit; re-entrant jobs credit
(8)R.S. 47:287.749 Jobs credit
(9)R.S. 47:287.752 Credit for employment of first-time nonviolent offenders
(10)R.S. 47:287.753 Neighborhood assistance tax credit
(11)R.S. 47:287.755 Credit for contributions to educational institutions
(12)R.S. 47:287.758 Credit for bone marrow donor expense
(13)R.S. 47:287.759 Credit for employee and dependent health insurance coverage
(14)R.S. 47:297 Reduction to tax due
(15)R.S. 47:297.6 Credit for rehabilitation of residential structures
(16)R.S. 47:297.9 Certain military service members and dependents hunting and fishing
licenses
(17)R.S. 47:6004 Employer Credit
(18)R.S. 47:6005 Qualified new recycling manufacturing equipment and service contracts
(19)R.S. 47:6008 Credit for donations to assist playgrounds in economically depressed
areas
(20)R.S. 47:6009 Louisiana Basic Skills Training Tax Credit
(21)R.S. 47:6012 Employer tax credits for donations of materials, equipment, advisors,
or instructors
(22)R.S. 47:6013 Credit for donations to public schools
(23)R.S. 47:6017 Credit for expenses paid by economic development corporations
(24)R.S. 47:6018 Credit for purchasers from "PIE contractors"
(25)R.S. 47:6020 Angel Investor tax credit program
(26)R.S. 47:6022 Digital interactive media and software tax credit
(27)R.S. 47:6023 Sound recording investor tax credit
(28)R.S. 47:6025 Credit for La. Citizens Property Insurance Corp. assessment
(29)R.S. 47:6026 Cane River heritage tax credit
(30)R.S. 47:6032 Credit for certain milk producers
(31)R.S. 47:6034 Musical and theatrical production income tax credit
(32)R.S. 47:6035 Credit for conversion of vehicles to alternative fuel usage
(33)R.S. 47:6036 Ports of Louisiana tax credit (34)R.S. 47:6037 Credit for "green job industries"
(35)R.S. 51:1807 Incentives (Urban Revitalization)
(36)R.S. 51:2354 Technology commercialization credit
(37)R.S. 51:2399.3 Modernization tax credit
(38)R.S. 51:3085 Community Development Financial Institution tax credit
Proposed law is applicable to all tax periods beginning on or after January 1, 2017.
Effective upon signature of governor (June 26, 2017).
(R.S. 47:227, 287.759(A), 297(B) and (G)(2), 297.6(A)(1)(a), 6005(C)(1), 6013(A),
6020(D)(2)(a), 6034(C)(1)(a)(iii)(bb)(intro para) and (d)(ii), and 6037(B)(2)(b)(i) and (ii) and
(c) all as amended by Sec. 2 of Act No. 125 of 2015 R.S., R.S. 47:6022(D)(3)(intro para),
and R.S. 51:2354(B)(intro para) and 2399.3(A)(2)(b)(intro para) both as amended by Sec.
3 of Act No. 125 of 2015 R.S., R.S. 51:2354(C), 2399.3(A)(2)(c), (d), (e), and Secs. 7 and
8 of Act No. 125 of 2015 R.S.; adds R.S. 47:6022(D)(4) and 6034(C)(1)(a)(iii)(cc) and
(d)(iii) and R.S. 51:2354(D) and 2399.3(A)(2)(f); repeals Secs. 4, 5, and 6 of Act No. 125
of 2015 R.S.)