HLS 25RS-918 ORIGINAL
2025 Regular Session
HOUSE BILL NO. 477
BY REPRESENTATIVE FREIBERG
TAX CREDITS: Authorizes university laboratory schools to participate in the student
tuition organization tax credit program
1 AN ACT
2To amend and reenact R.S. 47:6301(B)(1)(a) and (2)(a)(introductory paragraph) and (i),
3 relative to income tax; to provide for the income tax credit for donations to school
4 tuition organizations; to provide for eligibility requirements for schools; to provide
5 for definitions; to provide certain requirements; to provide for effectiveness; and to
6 provide for related matters.
7Be it enacted by the Legislature of Louisiana:
8 Section 1. R.S. 47:6301(B)(1)(a) and (2)(a)(introductory paragraph) and (i) are
9hereby amended and reenacted to read as follows:
10 ยง6301. Credit; donations to school tuition organizations
11 * * *
12 B.(1)(a) For purposes of this Section, the term "school tuition organization"
13 shall mean a tax exempt organization organized under Section 501(c)(3) of the
14 Internal Revenue Code which adheres to the requirements of this Section. The
15 amount of scholarships awarded by a school tuition organization shall equal the
16 amount of donations the organization receives from taxpayers, minus allowable
17 administrative or promotional costs. No less than ninety-five percent of the monies
18 received by the school tuition organization from taxpayer donations for scholarships
19 shall be used to provide scholarships to students for attendance at a qualified
20 nonpublic school or a laboratory school operated by a public college or university
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 25RS-918 ORIGINAL
HB NO. 477
1 of their parent's choice. In addition, a school tuition organization shall provide
2 educational scholarships to students without limiting available scholarships to
3 students of only one qualified school.
4 * * *
5 (2)(a) For purposes of this Section, a "qualified school" shall mean a
6 nonpublic elementary or secondary school in this state which is approved,
7 provisionally approved, or probationally approved by the Board of Elementary and
8 Secondary Education and which complies with the criteria set forth in Brumfield, et
9 al. v. Dodd, et al., 425 F. Supp 528. A "qualified school" shall also include a
10 laboratory school operated by a public college or university in this state. A qualified
11 school shall do all of the following:
12 (i) Conduct criminal background checks on its employees and exclude from
13 employment any person not permitted by state law to work in a nonpublic school or
14 a laboratory school operated by a public college or university. The Department of
15 Education shall bar an otherwise qualified school from participating in the credit
16 authorized under this Section if the otherwise qualified school fails to comply with
17 the requirements of this Item.
18 * * *
19 Section 2. The provisions of this Act shall become effective beginning on January
201, 2026, and shall be applicable to donations made to a school tuition organization which
21provides scholarships to qualified students to attend a qualified school for the 2026-2027
22school year and thereafter.
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 477 Original 2025 Regular Session Freiberg
Abstract: Includes a laboratory school operated by a public college or university as a
"qualified school" for purposes of participating in the school tuition organization tax
credit program.
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions. HLS 25RS-918 ORIGINAL
HB NO. 477
Present law authorizes an income tax credit for donations a taxpayer makes during a taxable
year to a school tuition organization (STO) that provides scholarships to qualified students
to attend a qualified school. In order to qualify for the credit, the donation shall be made
by a taxpayer who is required to file a La. income tax return. The amount of the credit shall
be equal to the actual amount of the taxpayer's donation used by an STO to fund a
scholarship to a qualified student, which shall not include administrative costs.
Present law authorizes the credit to be used in addition to any federal tax credit or deduction
earned for the same donation. However, a taxpayer shall not receive any other state tax
benefit for which the taxpayer has received a tax credit pursuant to present law. Further
provides that if the amount of the tax credit exceeds the total tax liability of the taxpayer in
the taxable year, the amount of the credit not used as an offset against tax liability may be
carried forward as a credit against subsequent income tax liabilities for a period not to
exceed three taxable years.
Present law defines a "qualified student" as a child who is a member of a family that resides
in La. with a total household income that does not exceed 250% of the federal poverty level
and who is a student that is entering kindergarten for the first time, a student who attended
a public school the previous year, or a student who received a scholarship from an STO or
the Student Scholarships for Educational Excellence Program for the previous school year.
Proposed law retains present law.
Present law defines a "qualified school" as a nonpublic elementary or secondary school in
this state which is approved, provisionally approved, or probationally approved by the Board
of Elementary and Secondary Education and which complies with the criteria set forth in
Brumfield, et al. v. Dodd, et al., 425 F. Supp 528. Present law requires qualified schools to
conduct criminal background checks on its employees and to exclude from employment any
person not permitted by state law to work in a nonpublic school.
Proposed law retains present law but adds a laboratory school operated by a public college
or university in this state to the definition of a "qualified school" and extends the
requirement for a qualified school to conduct criminal background checks on its employees
to a laboratory school operated by a public college or university.
Effective January 1, 2026, and applicable to donations made to an STO which provides
scholarships to qualified students to attend a qualified school for the 2026-2027 school year
and thereafter.
(Amends R.S. 47:6301(B)(1)(a) and (2)(a)(intro. para.) and (i))
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CODING: Words in struck through type are deletions from existing law; words underscored
are additions.