Louisiana Senate Bill SB52

Louisiana 2020 2nd Special Session

• Introduced: 10/5/20
• Refer: 10/5/20
• Report Pass: 10/12/20
• Engrossed: 10/14/20
• Report Pass: 10/19/20
• Enrolled: 10/21/20
• Chaptered: 11/5/20
• Passed: 11/5/20

Caption

Provides for credits for certain ad valorem taxes paid for the 2020 tax year. (gov sig) (Item #26) (EN SEE FISC NOTE GF RV See Note)

Impact

By allowing the treatment of late payments as timely, SB52 seeks to impact the financial liabilities of businesses and individuals in Louisiana adversely affected by the COVID-19 pandemic during the 2020 tax year. The flexibility to claim tax credits can lead to a significant reduction in total tax liabilities for affected taxpayers who might have struggled to meet tax deadlines. This could foster economic recovery by providing immediate financial relief to taxpayers facing hardships during the pandemic, demonstrating responsiveness in public policy amidst crisis.

Summary

Senate Bill 52 (SB52) aims to provide tax credits related to ad valorem taxes paid for the 2020 tax year. The bill allows taxpayers who pay these taxes after the due date of December 31, 2020, to request that their payments be considered timely if made by April 15, 2021. This regulatory change intends to ease financial burdens on taxpayers by ensuring that they can benefit from tax credits despite possible delays in tax payments. The bill also specifies limitations on how these credits can be claimed to prevent double dipping into credits for different tax years.

Sentiment

The sentiment surrounding SB52 appears to be supportive, especially from the business community and taxpayers who have incurred tax liabilities for that year. Legislators recognizing the unique circumstances leading to these potential financial burdens largely championed the bill, reflecting a collaborative effort to provide relief. There may be less enthusiasm among those wary of increasing fiscal responsibilities for the state or those who believe such measures can set precedents for future tax policies.

Contention

While the bill is generally well-received, notable contentions may arise regarding its long-term implications for state funding and fiscal health. Critics may argue that providing these tax credits could impact the state's revenue, particularly if a significant number of taxpayers elect the relief option. Therefore, while SB52 proposes immediate benefits to taxpayers, it raises questions about fiscal sustainability and equity in tax policy administration moving forward.