Louisiana House Bill HCR57

Louisiana 2015 Regular Session

• Introduced: 4/20/15
• Refer: 4/21/15

Caption

Suspends all individual income tax credits, deductions, exclusions, and exemptions

Impact

The suspension of income tax credits and deductions as outlined in HCR57 could significantly alter the tax liabilities of individuals across the state. This change may lead to increased revenue for the state treasury, which proponents argue is necessary given the financial challenges faced by Louisiana. They hold that the removal of these tax benefits is a necessary sacrifice to ensure that vital public services such as education, healthcare, and public safety remain funded. Consequently, this resolution could influence personal financial planning for residents depending on these exemptions.

Summary

HCR57 is a House Concurrent Resolution that calls for the suspension of all individual income tax credits, deductions, exclusions, and exemptions until 60 days after the final adjournment of the 2016 Regular Session of the Louisiana Legislature. The resolution is presented in the context of a critical need for funding to maintain essential state services. The measure aims to increase immediate revenue by eliminating these tax benefits that reduce the overall income tax base, thereby impacting the state’s fiscal health more positively in the short term.

Sentiment

The sentiment regarding HCR57 is mixed, with advocates emphasizing the importance of the resolution for maintaining essential services while critics argue that suspending tax benefits places an undue burden on individuals, particularly lower and middle-income families. Supporters contend that immediate fiscal needs outweigh the long-term benefits of tax deductions, while opponents worry about the adverse effects on residents’ economic welfare and the potential exacerbation of poverty issues, showcasing a significant disconnect between differing political and economic philosophies.

Contention

Notable points of contention surrounding HCR57 include debates on the immediate needs of the state versus long-term fiscal policies favoring economic growth through tax incentives. Critics of the resolution assert that suspending these tax benefits could disproportionately affect vulnerable populations who rely on deductions to alleviate their tax burden. Additionally, unresolved discussions about alternative measures to boost revenue without compromising individual financial stability indicate a deeper ongoing debate about fiscal responsibility and government intervention in the economy.