HLS 25RS-593 ORIGINAL
2025 Regular Session
HOUSE BILL NO. 448
BY REPRESENTATIVE MANDIE LANDRY
TAX/AD VALOREM-EXEMPTION: (Constitutional Amendment) Prohibits ad valorem
tax exemptions for property owned by nonprofit organizations used for commercial
purposes
1 A JOINT RESOLUTION
2Proposing to amend Article VII, Section 21(B)(4)(a) of the Constitution of Louisiana,
3 relative to ad valorem taxation; to provide relative to an ad valorem tax exemption
4 for nonprofit corporations and associations; to limit the exemption; to provide for
5 submission of the proposed amendment to the electors; to provide for effectiveness;
6 and to provide for related matters.
7 Section 1. Be it resolved by the Legislature of Louisiana, two-thirds of the members
8elected to each house concurring, that there shall be submitted to the electors of the state of
9Louisiana, for their approval or rejection in the manner provided by law, a proposal to
10amend Article VII, Section 21(B)(4)(a) of the Constitution of Louisiana, to read as follows:
11 §21. Other Property Exemptions
12 Section 21. In addition to the homestead exemption provided for in Section
13 20 of this Article, the following property and no other shall be exempt from ad
14 valorem taxation:
15 * * *
16 (B)
17 * * *
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 25RS-593 ORIGINAL
HB NO. 448
1 (4)(a) None of the property listed in this Paragraph shall be exempt if owned,
2 operated, leased, or used for commercial purposes unrelated to the exempt purposes
3 of the corporation or association.
4 * * *
5 Section 2. Be it further resolved that the provisions of the amendment contained in
6this Joint Resolution shall become effective January 1, 2027, and shall be applicable to all
7tax years beginning on or after January 1, 2027.
8 Section 3. Be it further resolved that this proposed amendment shall be submitted
9to the electors of the state of Louisiana at the statewide election to be held on November 3,
102026.
11 Section 4. Be it further resolved that on the official ballot to be used at the election,
12there shall be printed a proposition, upon which the electors of the state shall be permitted
13to vote YES or NO, to amend the Constitution of Louisiana, which proposition shall read as
14follows:
15 Do you support an amendment to prohibit nonprofit organizations from
16 receiving property tax exemptions on any property used for commercial
17 purposes? (Effective January 1, 2027) (Amends Article VII, Section
18 21(B)(4)(a))
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 448 Original 2025 Regular Session Mandie Landry
Abstract: Prohibits a nonprofit organization from receiving a property tax exemption on
property used for commercial purposes regardless of whether those commercial
purposes relate to the income-tax-exempt purposes of the organization.
Present constitution authorizes an exemption from ad valorem taxation for property owned
by a nonprofit corporation or association (nonprofit) organized and operated exclusively for
religious purposes, dedicated places of burial, charitable purposes, purposes relating to
health and welfare, fraternal purposes, or educational purposes.
Present constitution establishes requirements that must be satisfied in order for a nonprofit
organization to obtain an ad valorem property tax exemption, including a requirement that
the property subject to the exemption cannot be owned, operated, leased, or used for
commercial purposes unrelated to the tax-exempt purposes of the nonprofit.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 25RS-593 ORIGINAL
HB NO. 448
Proposed constitutional amendment retains present constitution related to exceptions for
nonprofit organizations but prohibits nonprofits, in all cases, from receiving property tax
exemptions on property used for commercial purposes.
Provides for submission of the proposed amendment to the voters at the statewide election
to be held Nov. 3, 2026.
Effective January 1, 2027, and applicable to all tax years beginning on or after Jan. 1, 2027.
(Amends Const. Art. VII, §21(B)(4)(a))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.