Louisiana Senate Bill SB141

Louisiana 2019 Regular Session

• Introduced: 3/27/19
• Refer: 3/27/19
• Refer: 4/8/19

Caption

Provides tax collection due process an pre-distraint hearing procedure. (8/1/19)

Impact

If enacted, SB 141 would significantly amend existing procedures related to tax collection in Louisiana. It introduces a requirement for a pre-distraint hearing before the Board of Tax Appeals, allowing taxpayers to contest the claims made by collectors. With this change, the law now emphasizes a fairer approach by preventing arbitrary confiscation of property without prior notice or the opportunity for a legal challenge, thereby protecting taxpayers’ rights and establishing a defined process for dispute resolution.

Summary

Senate Bill 141 aims to provide enhanced due process protections during tax collection procedures, specifically regarding distraint actions. Under the proposed law, a tax collector must notify a taxpayer at least 30 days before initiating any distraint action against their property. This notice must be clear and comprehensive, detailing the amount owed, the taxpayer's rights to a hearing, and various collection alternatives available to them. This provision seeks to ensure taxpayers are fully informed and have the opportunity to address their unpaid tax obligations before any action is taken against their property.

Sentiment

The overall sentiment around SB 141 appears positive, particularly among advocates for taxpayer rights and legal fairness. Supporters argue that the bill is a substantial step forward in protecting individuals from aggressive tax collection practices and ensures that the government maintains a level of transparency and accountability in tax enforcement. Critics, however, may contend that while this adds necessary protections, it could also slow down the collection process and complicate enforcement actions, potentially impacting state revenue.

Contention

Notable points of contention surrounding SB 141 relate to the balance between effective tax collection and protection of taxpayer rights. Some lawmakers may worry that the stringent notice and hearing requirements could hinder the efficiency of tax collection, while others fear that without these protections, taxpayers could face unjust actions without recourse. The debate is likely to center on how best to balance the need for state revenue with the need for ethical treatment of citizens and proper legal process.