Louisiana 2015 Regular Session

Louisiana House Bill HCR55

Introduced
4/20/15  
Refer
4/21/15  

Caption

Suspends income and corporate franchise tax credits

Impact

The suspension of these tax credits is significant as it directly affects tax policies within Louisiana, potentially leading to reduced tax burdens for the state treasury. This measure seeks to alleviate immediate financial pressures but could also risk increasing the tax burden on businesses and individuals who benefit from such credits. Some legislators argue that suspending tax credits is a vital step to ensure financial stability for the state, especially during challenging economic periods.

Summary

House Concurrent Resolution 55 (HCR55) proposes to suspend all income and corporate franchise tax credits in Louisiana until sixty days after the final adjournment of the 2016 regular legislative session. This decision aims to address the state's financial constraints and is presented as a necessary measure to maintain vital government services that may be impacted by diminished revenue. The suspension specifically targets numerous statutes that currently allow for tax credits, emphasizing the state's needs for immediate fiscal recovery.

Sentiment

The sentiment surrounding HCR55 appears to be mixed, reflecting different perspectives among lawmakers and stakeholders. Supporters of the resolution highlight the necessity of such fiscal measures during tough economic times, arguing that the suspension is a responsible decision aimed at preserving essential services. Conversely, opponents express concerns about the long-term effects of suspending tax credits, particularly for businesses and taxpayers who rely on these benefits for financial relief and economic growth.

Contention

Notable points of contention center around the potential impact of the tax credit suspension on Louisiana's economy and taxpayer welfare. Critics argue that this measure may hinder economic growth by increasing the tax burdens on businesses and reducing incentives for investment. Additionally, the decision underscores a larger debate about the balance between fiscal responsibility and providing necessary financial relief through tax credits, representing a conflict between immediate financial needs and long-term economic health.

Companion Bills

No companion bills found.

Previously Filed As

LA SB172

Terminates certain tax credits as of January 1, 2019. (gov sig) (EN +$27,000,000 GF RV See Note)

LA HB2

Repeals the Student Assessment for a Valuable Education (SAVE) credit program (Item #14) (EN NO IMPACT GF RV See Note)

LA HB606

Requires the termination of all income tax credits

LA HB629

Reduces income and corporation franchise tax credits (EN +$31,500,000 GF RV See Note)

LA HB659

Sunsets all tax credits

LA HB607

Provides a sunset date for all tax credits

LA HB651

Provides relative to corporate income tax credits (REF +$12,500,000 GF RV See Note)

LA SB79

Removes the June 30, 2018, sunset provision and makes permanent reductions to certain income and corporation franchise tax credits. (gov sig) (EN +$12,500,000 GF RV See Note)

LA HB32

Reduces the amount of certain income and corporation franchise tax credits (Item #36) (OR +$4,300,000 GF RV See Note)

LA HB98

Amends Act No. 125 of the 2015 Regular Session of the Legislature to provide relative to income and corporation franchise tax credits (Item #10) (OR INCREASE GF RV See Note)

Similar Bills

No similar bills found.