Vote Smart's Synopsis:

Vote to pass a bill that reduces the personal income tax rate to a flat 3% in Louisiana.

Highlights:

• Reduces personal state income tax to a flat 3% tax rate (Sec. 1).

• Reduces state income tax by 0.25% for each multiple of $375 million that the prior year’s general fund exceeds the average year’s general fund (Sec. 1).

• Expands tax exemptions to $12,000 for pension and annuity income for those 65 years or older (Sec. 1).

• Reduces taxes for S corporations to the state income tax rate (Sec. 1).

• Expands standard tax deductions and ties standard tax deduction to the consumer price index for urban consumers (Sec. 1).

• Authorizes expenses on qualified property to be tax deductible (Sec. 2).

• Authorizes expenses on research and experiments to be tax deductible (Sec. 2).

• Prohibits expense deductions from exceeding 100% of the property or expenditure cost (Sec. 2).

• Prohibits tax credits or deductions from being granted after June 30, 2025 (Sec. 3).

Full Bill Text