The original instrument and the following digest, which constitutes no part of the
legislative instrument, were prepared by Leonore Heavey.
DIGEST
SB 1 Original 2023 Regular Session Allain
Present law levies a corporation franchise tax on domestic corporations and foreign corporations that
exercise their charter, or are qualified to do business or actually do business in this state, or own or
use any part or all of their capital, plant, or any other property in this state.
Proposed law repeals the corporation franchise tax for all tax periods beginning on or after Jan. 1,
2025.
Present law provides for the utilization of certain tax credits to reduce the franchise tax that would
otherwise be due.
Proposed law removes the provisions in present law that provide for the utilization of tax credits
against the franchise tax.
Proposed law clarifies that credits that were earned in a tax period prior to the repeal of the tax may
continue to be used against that tax for any applicable period prior to the repeal of the tax.
Effective January 1, 2025.
(Amends R.S. 47:287.750(E)(1), 1675(J), 6005(C)(1), 6006(A), 6006(B)(1)(intro para), R.S.
47:6006(B)(2), and (4), 6006.1(A), 6006.1(B)(intro para), R.S. 47:6006.1(B)(1), (3), and (4), and
(C), 6013(A), 6014(A), (B), and (C)(1) and (3), 6015(B)(1) and (2), (C)(3)(a) and (d)(i),
6015(D)(2)(intro para), R.S. 47:6015(K), 6019(A)(1)(a), (3)(a) and (b)(ii)(aa) and (dd)(I),
6020(D)(2)(a), (3)(a) and (d)(i), 6022(E)(1)(b), 6022(E)(1)(e)(intro para), R.S. 47:6033(C) and
(D)(1) and (2), 6036(C)(1)(a)(intro para), R.S. 47:6036(I)(2)(a)(i) and (b), 6107(A)(1)(intro para),
R.S. 47:6107(A)(2) and (B), and R.S. 51:1787(A)(2)(a) and (b) and (G); adds R.S. 47:1675(K);
repeals R.S. 47:287.662 and R.S. 47:601 through 618)