Louisiana House Bill HB338

Louisiana 2015 Regular Session

• Introduced: 4/2/15
• Refer: 4/2/15
• Refer: 4/13/15
• Report Pass: 4/21/15
• Engrossed: 4/29/15
• Refer: 4/30/15
• Report Pass: 5/11/15
• Enrolled: 6/3/15
• Chaptered: 6/23/15
• Passed: 6/23/15

Caption

Provides with respect to the enforcement and adjudication of state and local taxes and the Board of Tax Appeals (EN +$60,000 SG EX See Note)

Impact

The potential impact of HB 338 includes significant changes to the operations of the Board of Tax Appeals and the local tax divisions. By creating an escrow account, the bill provides a mechanism for holding disputed funds during appeals and allows for the management and distribution of interest earned on these deposits. This framework could bolster taxpayer confidence in the appeals process by ensuring that funds are securely held while disputes are resolved, thus addressing concerns over the immediate consequences of tax assessments and collections. Furthermore, the establishment of an alternative dispute resolution framework is expected to reduce the backlog of cases and provide a more accessible route for taxpayers to contest assessments.

Summary

House Bill 338 addresses the enforcement and adjudication processes concerning state and local taxes within Louisiana. It amends various statutes related to tax assessment and collection, establishing an escrow account for managing deposits made by taxpayers involved in disputes, particularly regarding their tax liabilities. The bill aims to streamline procedures, enhance transparency, and facilitate timely resolutions of disputes between taxpayers and revenue collectors through alternative dispute resolution methods, thereby promoting efficiency in tax adjudication.

Sentiment

The sentiment regarding HB 338 appears largely supportive among stakeholders who emphasize the importance of efficient tax dispute resolution processes. Proponents of the bill appreciate its potential to modernize tax administration and enhance the fairness of the appeals system. However, there may be concerns from some quarters on the implications of the escrow account for cash flow and operational flexibility for local taxing authorities, which could lead to a divergence of opinions on its effectiveness in practice.

Contention

One notable point of contention surrounding HB 338 is the balance between tax authority and taxpayer rights. Critics may argue that while the bill streamlines processes and promotes dispute resolution, it could inadvertently prioritize state interests over local control. Additionally, concerns about the administrative burden associated with implementing the new escrow system and ensuring compliance with the amended regulations could lead to pushback from local collectors who might see this as an added layer of complexity.