Provides relative to extensions of time for filing Louisiana individual income tax returns (EN INCREASE GF EX See Note)
Impact
The passage of HB 1103 will have a significant impact on state laws concerning income tax filing. By enabling taxpayers to use a federal extension form to apply for a corresponding extension on their Louisiana income tax returns, it streamlines compliance and reduces unnecessary paperwork. This change could lead to increased compliance rates among taxpayers who might have previously missed deadlines due to confusion around filing processes. Furthermore, it positions Louisiana's tax law in a more favorable light by matching some aspects of federal tax procedures.
Summary
House Bill 1103 amends R.S. 47:103(D) regarding the individual income tax return in Louisiana. The bill provides clearer guidelines for taxpayers seeking extensions on filing their income tax returns. Specifically, it allows for a reasonable extension not exceeding six months from the original due date or the extended federal due date. This adjustment aims to simplify the process for individuals requesting extensions and aligns the state tax filing procedures more closely with federal requirements, potentially lowering the taxpayer burden during the tax season.
Sentiment
General sentiment around HB 1103 appears to be positive, with strong support from legislators focused on taxpayer convenience and efficient government operations. The collaborative approach to aligning state and federal filing initiatives reflects a growing acknowledgment of the importance of taxpayer-friendly practices. However, there may be some contention surrounding the administrative responsibilities of tax authorities to manage these new procedures effectively and to ensure public awareness of these changes.
Contention
While HB 1103 is largely viewed as a progressive step towards enhancing taxpayer accessibility, concerns remain regarding the implementation and public communication of the new extension procedures. Some skepticism centers on whether the tax authority will provide adequate resources and information to assist taxpayers in understanding and leveraging the new provisions. Additional discussions may arise concerning the long-term implications of such changes on tax compliance and state revenue forecasting, as extensions could delay tax collection.
Urges and requests the secretary of the Department of Revenue to accept an individual taxpayer's federal income tax return extension as a taxpayer's extension of time to file his state income tax return
Provides relative to the deadlines for the payment of certain taxes and the time and place for the filing of certain income tax returns (RE1 NO IMPACT GF RV See Note)
Creates an individual income tax return checkoff for donations to the La. Chapter of the National Multiple Sclerosis Society (EN INCREASE GF EX See Note)
The Louisiana Make-A-Wish Act to provide an individual income tax return checkoff for donations to the Make-A-Wish Foundation (EN NO IMPACT GF RV See Note)
Provides for a flat rate for purposes of calculating income tax for individuals, estates, and trusts, increases the standard deduction, and modifies or repeals certain income tax deductions and credits (Item #5 and 6) (RE1 DECREASE GF RV See Note)
Provides for a flat tax rate for purposes of calculating individual income tax, increases the amount of the earned income tax credit, and modifies other income tax credits and deductions (RE +$5,000,000 GF RV See Note)