Louisiana House Bill HB616

Louisiana 2021 Regular Session

• Introduced: 4/2/21
• Refer: 4/2/21
• Refer: 4/12/21

Caption

Establishes an individual income tax credit for volunteer firefighters (OR -$1,102,954 GF RV See Note)

Impact

The proposed changes in HB 616 are expected to provide additional motivation for individuals to volunteer as firefighters, thereby addressing the ongoing need for more personnel in volunteer fire departments. By transitioning from a deduction to a credit, the bill aims to ease the financial burden on volunteers, which may encourage wider participation in fire departments critical to community safety and emergency response. This could potentially enhance the overall effectiveness of volunteer fire services across Louisiana.

Summary

House Bill 616 aims to establish a $500 income tax credit for individuals who volunteer as firefighters at volunteer fire departments in Louisiana. This legislation replaces an existing tax deduction of $500, transitioning to a credit system intended to provide more financial benefit to volunteers. To qualify for this credit, individuals must complete 24 hours of continuing education and be active members of the Louisiana State Fireman's Association or be present on the personnel roster for the State Fire Marshal's Volunteer Fireman's Insurance Program. The bill's provisions are applicable to taxable years beginning on or after January 1, 2022.

Sentiment

The sentiment surrounding HB 616 appears to be largely positive among legislative supporters who recognize the importance of volunteer firefighters and seek to enhance support for them. Advocates believe that the tax credit will serve as a much-needed incentive, aiding recruitment and retention of volunteers. However, limited opposition is expected from fiscal conservatives concerned about the impact of such credits on the state's budget. The conversation around this bill recognizes the balance between supporting essential services and managing state expenditure.

Contention

While the bill proposes to incentivize volunteer firefighters, potential points of contention may arise during legislative discussions. Critics may argue that redirecting tax revenues towards credits could limit funds available for other community programs or lead to budgetary strains. Furthermore, the requirements for continuing education and membership could be seen as barriers by some current volunteers. Thus, while aimed at bolstering community volunteerism, HB 616 may evoke debates on fiscal responsibility and resource allocation.