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 586 Original 2019 Regular Session Jimmy Harris
Abstract: Authorizes an enhanced Angel Investor tax credit for investments made in Louisiana
Entrepreneurial Businesses located in federally established opportunity zones.
Present law establishes the Angel Investor Tax Credit program which authorizes a 25% income or
corporate franchise tax credit on investments in Louisiana small businesses that are certified by
Louisiana Economic Development as "Louisiana Entrepreneurial Businesses."
Present law limits the total amount of credits granted under the program to $3.6 million per year but
authorizes the department to carry forward residual unused credits in any calendar year to subsequent
calendar years without regard to the annual credit cap.
Proposed law retains present law and authorizes an enhanced tax credit equal to 35% of the amount
of the investment made in Louisiana Entrepreneurial Businesses located in federally established
opportunity zones. The credit shall be divided into equal portions over three years.
Proposed law establishes a cap of $3.6 million per calendar year for the enhanced tax credit which
is in addition to the $3.6 million per year cap on Angel Investor tax credits thereby establishing a
total program cap of $7.2 million per calendar year.
Present law prohibits credits from being granted or reserved under the program for applications
received on or after July 1, 2021.
Proposed law extends the sunset of the program from July 1, 2021 to July 1, 2025.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 47:6020(G); Adds R.S. 47:6020(H))