RÉSUMÉ DIGEST
ACT 343 (HB 573) 2021 Regular Session Stefanski
Existing law provides for the establishment of the Board of Tax Appeals (board) to hear and
decide disputes between taxpayers and any state or local tax collector. Existing law provides
for the qualifications and appointment of members to the board.
New law expands the qualifications of a nominee for a board position to include a person
who has La. tax law experience rather than a person with La. sales tax law experience.
New law increases the membership of the Local Tax Division Nominating Committee from
eight to ten members by adding a member who represents the La. Assessor's Association and
a representative selected by the Pelican Institute after consultation with the La. Chamber of
Commerce Foundation. Further expands the qualifications for members of the nominating
committee to include a certified La. assessor.
Existing law provides for the jurisdiction of the board which includes petitions for
declaratory judgment or actions related to the constitutionality of a law or ordinance or the
validity of a regulation concerning a state or local tax or fee.
New law adds that the board's jurisdiction over petitions for declaratory judgement or other
actions extends to matters related to state or local taxes or fees, concerning taxing districts
and related proceeds, or relating to contracts related to tax matters.
Existing law defines a "local collector" as an individual or entity responsible for collecting
occupational license or occupancy taxes, or local taxes or fees. Prior law excluded tax
matters within the jurisdiction of the La. Tax Commission (commission).
New law adds ad valorem taxes to the taxes a local collector may collect and removes the
exclusion for tax matters within the jurisdiction of the commission. New law further defines
a local collector to include an assessor or the commission if it is a party to a proceeding
related to appeals for the redetermination of an assessment or the determination of an
overpayment and any other political subdivision of the state or other local taxing district.
Existing law authorizes a taxpayer to appeal to the board for a redetermination of an
assessment or a determination of an overpayment when a taxpayer is aggrieved by an
assessment made by a state collector or by a state collector's action or failure to act on a
claim for refund or credit of an overpayment. Existing law establishes a procedure for a
taxpayer to file a petition for payment of taxes under protest.
New law specifies that a taxpayer must comply with the existing law procedure related to
suits for payment of taxes under protest.
New law sets forth a procedure for a relevant party who is aggrieved by an action of a local
collector, assessor, or the commission, if the action is appealable to the board. Further
authorizes an intervention by and joinder of the relevant assessor as permitted or required by
existing law. New law excludes actions concerning local tax sales, the nullification of tax
sales, or the contesting of the seizure of movables for collection from this procedure.
Existing law requires the taxpayer and the collector to get notice and an opportunity to be
heard in each proceeding for the redetermination of an assessment, the consideration of a
payment under protest petition, or for the determination of an overpayment. Further requires
decisions or judgments to be made as quickly as practicable.
New law adds a requirement that other parties to proceedings be afforded notice and an
opportunity to be heard.
Existing law authorizes an aggrieved party to petition the board for declaratory judgment or
other action related to the constitutionality of a law or ordinance or validity of a regulation
concerning any matter relating to any state or local tax or fee excluding those tax matters.
Prior law prohibited an aggrieved party from petitioning the board to declare a law
unconstitutional on the basis of its failure to meet the constitutional requirements for the
passage of laws by the legislature. New law repeals prior law.
Existing law authorizes the commission to adopt, amend, or revise rules and guidelines after
public hearings held in accordance with existing law (the Administrative Procedure Act).
New law requires rules promulgated by the commission to be subject to oversight by the
House Committee on Ways and Means and the Senate Committee on Revenue and Fiscal
Affairs and authorizes the commission to use emergency rulemaking procedures when
necessary for the effective administration of ad valorem taxes.
Existing law provides for the determination of the appellate court that has jurisdiction over
decisions or judgments of the board including the court of appeal for the parish where the tax
is being litigated, the court the parties stipulate to have jurisdiction, or the court of appeal for
the parish of the appellee for a case appealed by a collector.
New law provides that if none of the options for review in existing law are applicable, the
judgment may be reviewed by the court of appeal designated by the board that has the most
connection to the matter or, if none, the court of appeal for East Baton Rouge Parish.
Existing law requires the board to select a fiscal agent for its escrow account used to
distribute funds pursuant to certified copies of an order. Further requires the account to be
subject to audit by the legislative auditor and an annual report of the account transactions
concerning local tax cases to be submitted to the La. Uniform Local Sales Tax Board.
Prior law required an annual report of account transactions concerning state cases to be
submitted to the Cash Management Review Board.
New law changes the entity to which the annual report for state tax cases must be submitted
from the Cash Management Review Board to the secretary of the Dept. of Revenue and
specifies that the annual report regarding local tax cases applies to local sales tax cases.
New law requires an annual report of the account's transactions concerning local ad valorem
tax cases to be submitted to the written designee for the La. Sheriff's Association and the
written designee for the La. Assessor's Association.
Existing law requires the commission to assess public service properties for purposes of ad
valorem taxes. Further requires the commission to give notice of the initial determination
of the assessed valuation in writing to a company and the initial determination becomes final
if no protest is filed with the commission within 30 days after receipt by the company of the
notice of the initial determination. Existing law provides a procedure for a company to
protest an initial valuation and a procedure for the company to appeal decisions of the
commission.
New law authorizes parties to appeal to the board in suits contesting the valuation or
assessment of public service properties when the suit affects assessments of property in more
than one parish. Further specifies that references to "reviewing court" in new law include
the board.
Existing law authorizes the commission to correct or change the assessment of any company
in order to make the assessment conform to facts. A company may institute a suit to contest
the correctness or legality of any corrections and changes of its assessed valuation by the
commission.
New law specifies that suits to contest the correctness of an assessment shall be subject to
provisions of existing law related to appeals of the final determination of the assessed value
of property by the commission.
Existing law requires an assessor to annually assess and value property within the assessor's
jurisdiction for purposes of ad valorem property taxes. Further provides for the assessment
procedure and time line an assessor is required to follow in order to notify a property owner
of the assessed value of his property. Existing law also sets forth a procedure for a property
owner to contest a property's valuation including the establishment of boards of review which
consist of the governing authorities in each parish. Existing law requires the commission to conduct public hearings within 10 days of receipt
of the assessment lists to hear real and personal property appeals of taxpayers, tax-recipient
bodies, or assessors from actions of the board of review.
New law requires a review of the correctness of an assessment by an assessor to be confined
to review of evidence presented to the assessor prior to the close of the deadline for filing a
complaint with the board of review. If a taxpayer makes application to present additional
evidence before the date set for hearing on the appeal and the commission finds that the
additional evidence is material and there were good reasons for failure to timely present the
evidence to the assessor, the commission may order the assessor to take the additional
evidence. Authorizes an assessor to modify the assessment because of the additional
evidence and to notify the commission of modifications within 15 calendar days of receipt
of the additional evidence.
New law provides that good reason for failure to timely present information to the assessor
is presumed to exist for reports and related attachments of any appraiser or other expert
ordered prior to the deadline for filing a complaint with the board of review if the report and
attachments are submitted to the assessor within 30 days of receipt of the reports and
attachments by the taxpayer and at least 25 days prior to a hearing before the commission.
New law provides that good reason for failure to timely present documents or evidence is
always presumed to exist when the otherwise admissible document or evidence is not
available to the taxpayer at the time of the deadline for submission to the assessor but is
provided to the assessor within 15 days of availability or consists of documents or records
of income or expenses concerning the valuation of oil and gas property when the taxpayer
has timely provided all information required by rule and the documents or records are
supplemental to the submission.
New law exempts documents or records of income or expenses concerning the valuation of
oil and gas property from the presumption of good reason for failing to timely present
documents or evidence if the documents were available to the taxpayer but not timely
provided in response to the assessor's request.
New law authorizes witnesses to be used to authenticate or explain documents which are
otherwise admissible and provides for the use of publicly accessible data, guides, and
resources.
New law provides that a decision of the commission to deny a taxpayer's application to
present additional evidence shall, at the option of the taxpayer, be considered a final
determination for purposes of appeal or be subject to immediate review by application for
supervisory writ to the court of appeal. Further provides that except as ordered by a court
of appeal, no stay of the proceedings before the commission may be issued pursuant to an
action to deny a taxpayer's application to present additional evidence.
New law in appeals of the correctness of assessments, authorizes the commission to
independently appraise property and to enter that appraisal into evidence for consideration
on review of the correctness of the assessment.
New law sets forth the actions the commission or a district court may take when reviewing
the correctness of an assessment by an assessor and provides specific reasons that may
warrant the commission or the district court to reverse or modify the assessor's assessment.
Existing law authorizes a property owner to make a written request for notice of the current
year's assessment of his property no sooner than the first day of June of that year. New law
requires the request to be received by the assessor of the parish or district in which the
property is located no later than June 15
th
of that same year.
New law authorizes a property owner to also provide an email address to the assessor. If an
email address is provided, the assessor shall email written notice of the assessed value of the
related property on the first day for the inspection of the assessment lists.
New law provides that if an assessor receives additional information from a taxpayer after
the assessment lists have been certified to the board of review but before the filing of a
complaint with the board of review, the assessor may modify the assessment to make a reduction based on the additional evidence. Reductions in assessments shall be
communicated to the taxpayer and the board of review no less than 24 hours prior to the
board of review's public hearing.
Existing law authorizes a taxpayer who is dissatisfied with the final determination of the
commission concerning the correctness of an assessment to file suit within 30 days of the
entry of a final decision of the commission in the district court for the parish where the
commission is domiciled or the district court of the parish where the property is located.
Existing law establishes a procedure for claims against a political subdivision for ad valorem
taxes erroneously paid to the political subdivision which includes presenting the claim to the
commission within three years of the date of the payment. Further provides a procedure for
a taxpayer who prevails in their claim to present a claim to the commission to receive a
refund of the payments. Authorizes an appeal to the district court if an assessor or the
commission refuses to approve a claim for a refund.
New law authorizes a taxpayer to also appeal to the board.
Existing law establishes a procedure for a taxpayer to challenge the correctness or legality
of an assessment by timely paying the disputed amount under protest to the tax collector.
Existing law provides for the proper party defendants who must be included in these suits.
New law provides for the proper party defendants who must be included in a correctness
challenge related to appeals of actions by a board of review related to the inspection of
assessment lists and notification and review of assessments and appeals of final
determinations by the commission. Further provides that a legality challenge may be brought
by a petition for recovery of a tax paid under protest before the board which shall provide a
legal remedy and right of action for a full and complete adjudication of all questions arising
in connection with the tax.
Existing law authorizes a taxpayer, in cases of an additional assessment, to pay the additional
assessment under protest without having to file an additional suit if the taxpayer shows that
the principle of law involved in an additional assessment is already pending before the court
for judicial determination and if the taxpayer agrees to abide by the pending court's decision.
New law specifies that the assessment under protest may also be under consideration by the
board.
Existing law requires forms filed by a taxpayer to be considered confidential and limits use
solely for purposes of administering the provisions of existing law and for verifying
eligibility for tax credits. Exempts these forms from the provisions of existing law
concerning public records; however, the forms are admissible in evidence and subject to
discovery in judicial or administrative proceedings.
New law specifies that the admissibility of the forms into evidence is subject to existing law
protections related to use of confidential information provided by court order. Further
provides that forms shall include all information provided by a taxpayer to an assessor.
New law provides that the provisions of new law amending R.S. 47:1989 shall be
prospective only and shall not be applicable to any case pending before the La. Tax
Commission or in any court on Jan. 1, 2022. The remaining provisions of new law are
procedural, but the provisions of new law amending R.S. 47:1998 shall not be applicable to
any case pending in any court on Jan. 1, 2022.
Effective January 1, 2022.
(Amends R.S. 47:1402(D)(2), (3)(intro. para.), and (5), 1403(B)(6)(c), 1407(3) and (7),
1418(4)(b) and (c), 1431(B), 1432(A), 1436(B), 1437(A), 1439(C), 1856(D)(2) and (3) and
(G), 1857(B)(1), 1989(C), 1998(A)(1)(a) and (b)(i) and (D), 2132(D), 2134(B)(3), (D), and
(E)(1), and 2327; Adds R.S. 47:1402(D)(3)(h) and (i), 1403(B)(6)(d), 1418(4)(d) and (e),
1431(F), 1432(B), 1837(G)(3), 1856(H), 1857(B)(3), 1992(A)(3) and (B)(3) and 1998(H) and
(I); Repeals R.S. 47:1431(D)(2) and 1432(D))