HLS 23RS-569 ORIGINAL
2023 Regular Session
HOUSE BILL NO. 255
BY REPRESENTATIVE LANDRY
TAX CREDITS: Establishes a tax credit for restaurants that recycle oyster shells
1 AN ACT
2To enact R.S. 47:6043, relative to income tax credits; to establish a refundable tax credit for
3 restaurants that recycle oyster shells; to provide for qualifications for the credit; to
4 provide for the amount of the credit; to provide for means by which corporations,
5 individuals, estates, trusts, and partners and members of entities not taxed as
6 corporations may claim the credit; to require the secretary of the Department of
7 Revenue to promulgate administrative rules with respect to the credit; to require the
8 secretary of the Department of Revenue to collaborate with the secretary of the
9 Department of Wildlife and Fisheries in developing such rules; to provide for
10 applicability; and to provide for related matters.
11Be it enacted by the Legislature of Louisiana:
12 Section 1. R.S. 47:6043 is hereby enacted to read as follows:
13 ยง6043. Recycling of oyster shells; restaurant tax credit
14 A. The purpose of this Section is to create an incentive for Louisiana
15 restaurants to divert from landfills a natural resource that would otherwise be a waste
16 product and instead facilitate the use of that resource in improving water quality,
17 benefitting aquatic habitats, supporting local economies, and protecting the coastline
18 of this state.
Page 1 of 4
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 23RS-569 ORIGINAL
HB NO. 255
1 B.(1) There shall be allowed a refundable credit against Louisiana income
2 tax for restaurants that donate oyster shells for beneficial use in accordance with the
3 qualifications provided in this Subsection.
4 (2) In order to be eligible for the credit in a taxable year, a restaurant
5 claiming the credit shall, during the taxable year, have donated oyster shell material
6 to the Oyster Shell Recycling Program of the Coalition to Restore Coastal Louisiana
7 or any other oyster shell recycling program or activity designated in rule by the
8 Department of Revenue as an approved program or activity.
9 C. The amount of the credit shall equal one dollar for each fifty-pound
10 increment of oyster shell material donated to a qualifying oyster shell recycling
11 program or activity or two thousand dollars, whichever is less.
12 D. If the amount of the credit authorized by this Section exceeds the amount
13 of the taxpayer's tax liability for the taxable year, the excess tax credit amount shall
14 constitute an overpayment as defined in R.S. 47:1621(A), and the secretary shall
15 make a refund of the overpayment from the current collections of the taxes imposed
16 pursuant to Chapter 1 of Subtitle II of this Title. The right to a refund shall not be
17 subject to the requirements of R.S. 47:1621(B).
18 E. Any taxpayer claiming the credit authorized in this Section shall maintain
19 all records necessary to verify his eligibility for the credit and for the amount of
20 credit claimed. If requested by the Department of Revenue, a taxpayer shall submit
21 to the department, in connection with the filing of his corporation, individual, or
22 fiduciary income tax return, any records required to be maintained by the provisions
23 of this Subsection.
24 F. The credit authorized in this Section may be claimed by corporations,
25 individuals, and other entities in accordance with the following provisions:
26 (1) An entity taxed as a corporation for Louisiana income tax purposes shall
27 claim any credit authorized by this Section on its corporation income and franchise
28 tax return.
Page 2 of 4
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 23RS-569 ORIGINAL
HB NO. 255
1 (2) An individual, estate, or trust shall claim any credit authorized by this
2 Section on its income tax return.
3 (3) An entity that is not taxed as a corporation shall claim any credit
4 authorized by this Section on the returns of the partners or members in accordance
5 with the following requirements:
6 (a) Corporate partners or members shall claim their share of the credit,
7 respectively, on their corporation income tax returns.
8 (b) Individual partners or members shall claim their share of the credit,
9 respectively, on their individual income tax returns.
10 (c) Partners or members that are estates or trusts shall claim their share of the
11 credit, respectively, on their fiduciary income tax returns.
12 G. The secretary of the Department of Revenue shall promulgate rules in
13 accordance with the Administrative Procedure Act as are necessary to implement the
14 provisions of this Section. In developing such rules, the secretary of the Department
15 of Revenue shall engage and collaborate with the secretary of the Department of
16 Wildlife and Fisheries and may incorporate recommendations of the secretary of the
17 Department of Wildlife and Fisheries in any final rules designating approved oyster
18 shell recycling programs and activities.
19 Section 2. The provisions of this Act shall apply to taxable periods beginning on or
20after January 1, 2024.
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 255 Original 2023 Regular Session Landry
Abstract: Establishes a tax credit for restaurants that donate oyster shells to approved
oyster shell recycling programs or activities.
Proposed law authorizes a credit against La. income tax for restaurants that donate oyster
shells for beneficial use in accordance with the requirements of present law.
Proposed law provides that in order to be eligible for the credit in a taxable year, a restaurant
claiming the credit shall, during the taxable year, have donated oyster shell material to the
Oyster Shell Recycling Program of the Coalition to Restore Coastal Louisiana or any other
Page 3 of 4
CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 23RS-569 ORIGINAL
HB NO. 255
oyster shell recycling program or activity designated in rule by the Dept. of Revenue as an
approved program or activity.
Proposed law provides that the amount of the credit shall equal $1 for each 50-pound
increment of oyster shell material donated to a qualifying oyster shell recycling program or
activity or $2,000, whichever is less.
Proposed law provides that if the amount of the credit exceeds the taxpayer's tax liability for
the taxable year, the excess credit amount shall constitute an overpayment which shall be
refunded to the taxpayer, thereby creating the tax credit as a refundable credit.
Proposed law provides for claiming of the credit by corporations, individuals, estates, trusts,
and partners or members of entities that are not taxed as corporations.
Proposed law requires the secretary of the Dept. of Revenue to promulgate administrative
rules as are necessary to implement proposed law. Requires that in developing these rules,
the secretary of the Dept. of Revenue shall engage and collaborate with the secretary of the
Dept. of Wildlife and Fisheries. Provides that recommendations of the secretary of the Dept.
of Wildlife and Fisheries may be included in any final rules designating approved oyster
shell recycling programs and activities.
Proposed law applies to taxable periods beginning on or after Jan. 1, 2024.
(Adds R.S. 47:6043)
Page 4 of 4
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.