Signed by Governor John Bel Edwards

Vote Smart's Synopsis:

Vote to concur with House amendments and pass a bill that authorizes a one-time income tax credit for certain businesses.

Highlights:

• Establishes allowance of a one-time refundable credit against Louisiana income tax for a partial state license or permit fees which are paid by owners or operators of establishments licensed to sell or serve alcoholic beverages on their premises (Sec. 1).

• Requires the amount of credit to be equal to that of the annual state license or permit fee for the 2020 calendar year where the permit holder was required to temporarily close operations by the state (Sec. 1).

• Requires the credit to be authorized to apply to license or permits issued on a 2-year basis if any part of the license or permit authorized the establishment to be operational within the 2020 calendar year (Sec. 1).

• Allows credits to be claimed in accordance with the following (Sec. 1):

• Any entity taxed as a corporation for Louisiana income tax purposes on corporation income and franchise tax return;

• Any individual, estate, or trust on income tax return; and

• Any entity not taxed as a corporation as follows:

• Corporate partners or members on their corporation income tax returns;

• Individual partners or members on their individual income tax returns; and

• Partners or members that are estates or trusts on their fiduciary income tax returns.

• Requires the act be applicable to income taxable periods spanning the 2020 calendar year (Sec. 2).

• Specifies that the act is effective upon governor signature or in the case of a veto, upon the day following legislative approval (Sec. 3).

Full Bill Text