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 480 Engrossed 2019 Regular Session Davis
Abstract: Extends the research and development tax credit program from Dec. 31, 2021 to Dec. 31,
2025.
Present law authorizes an income and corporation franchise tax credit for certain taxpayers who
employ 50 or more persons and claim a federal income tax credit for increasing research activities.
This tax credit is also available for tax payers who employ fewer than 50 employees if the employer
meets certain eligibility requirements.
Present law authorizes the following credits as a percentage of increased research expenses for a
taxpayer who employs the following number of employees:
Number of EmployeesTax Credit
100 or more 5%
50-99 10%
fewer than 50 30%
Present law prohibits the payment of credits for research expenditures incurred, Small Business
Technology Transfer Program funds received or Small Business Innovation Research Grant funds
received after Dec. 31, 2021.
Proposed law extends the sunset of the program from Dec. 31, 2021 to Dec. 31, 2025.
Effective Jan. 1, 2020.
(Amends R.S. 47:6015(J))
Summary of Amendments Adopted by House
The Committee Amendments Proposed by House Committee on Ways and Means to the original
bill:
1. Extend the duration of the tax credit program from Dec. 31. 2023 to Dec. 31, 2025. 2. Delete proposed law provisions to increase the amount of the percentage of the tax credit
for a taxpayer who employs fewer than 50 employees.
3. Delete proposed law provisions to increase the amount of the Small Business Innovation
Research Grant tax credit.
4. Delete proposed law authorization to extend the transfer of the tax credit to employers
who employ fewer than 50 persons and meet other eligibility requirements.