At the conclusion of the 3rd Extraordinary Session of 2024, the Louisiana Legislature passed a series of bills aimed at reforming the Louisiana tax code. The bills were signed into law by Governor Jeff Landry and a constitutional amendment will be on the ballot on March 29, 2025. Some of the highlights include eliminating the
As we approach the year-end, taxpayers should consider the following amendments to regulations made by the Louisiana Department of Revenue earlier this year that go into effect today and on January 1st and the emergency rule regarding the following real and personal property regulations: LAC 61:V.703, 705, 901, 903, 907, 1007, 1103, 1301, 1303
Owners of businesses in Louisiana considering a sale or divestiture of their ownership interests or substantially all of the assets of a business entity domiciled in this state should be advised that during the 2024 Third Extraordinary Session the legislature repealed the net capital gains deduction in its entirety.
Read the full post on the
In keeping with the Governor’s call for the Legislature’s 2024 Third Extraordinary Session, House Bill No. 25 was introduced on Monday seeking to adjust severance tax rates, eliminate exemptions, and modify administrative procedures and dedications of mineral revenues.
HB 25 initially proposed that severance tax on oil should be determined based on volume at a
The Louisiana Department of Revenue has drafted an emergency regulation regarding the Louisiana net capital gains deduction, Louisiana Administrative Code 61:I.1312. The emergency regulation will be published in the January 20, 2024 issue of the Louisiana Register, but the rule is effective for all transactions occurring on or after January 1, 2024. The emergency
In a unanimous decision, a three-judge panel of the Louisiana Third Circuit Appeal affirmed the authority of the Louisiana Tax Commission to correct property tax assessments of #pipelines when a local assessor uses values that are too high or do not reflect fair market value. Cheryl Kornick represented the taxpayer in this matter.
Continue Reading Louisiana Third Circuit Affirms Authority of Tax Commission to Correct Pipeline Property Tax Assessments
As announced in Louisiana Tax Commission Statewide Advisory 03-2021 on Hurricane Ida, pursuant to La. R.S. 47:1978.1, Louisiana Assessors in Parishes affected by Hurricane Ida have to reassess property for purposes of the upcoming annual property tax bills to take into account any reductions in fair market value to property as a result of hurricane
Recent jurisprudential and legislative developments have significantly altered the Louisiana state tax penalty regime. First, the Louisiana Supreme Court on November 4, 2020 denied the Louisiana Department of Revenue’s writ application in Smith International, Inc. v. Kimberly Robinson, Secretary, Louisiana Department of Revenue [1], rendering the earlier decision by the Louisiana First Circuit Court of Appeal final. Now, the penalties imposed by Acts 2015, No. 128, eff. July 1, 2015 cannot be applied to tax periods prior to July 1, 2015. In addition, the late payment penalty in La. R.S. 47:1602(A) is no longer applicable to amounts later assessed on taxpayers who timely filed their returns and remitted the amount of tax shown as due on their tax returns. Taxpayers under audit should object to the Department of Revenue asserting these penalties in audit workpapers.
Continue Reading Recent Changes to Louisiana Tax Penalty Regime
The Louisiana Supreme Court addressed the role of the Louisiana Tax Commission in its decision in the case of D90 Energy, LLC v. Jefferson Davis Parish Board of Review, No. 2020-C000200. While the case addressed the property tax assessments of a specific taxpayer, its larger importance is the holding regarding the role of the Louisiana Tax Commission in its review of local property tax assessments, including the assessments of oil and gas property. Louisiana property is assessed by the assessor for the parish where the property is located. The Louisiana Constitution provides a process for the taxpayer to seek review of an assessment that the taxpayer believes is incorrect. La. Const. art. VII, section 18(E) provides that “[t]he correctness of assessments by the assessor shall be subject to review first by the parish governing authority, then by the Louisiana Tax Commission or its successor, and finally by the courts, all in accordance with procedures established by law.”
Continue Reading Louisiana Supreme Court Addresses the Role of Louisiana Tax Commission