Corporate Tax Law Rewrite Emerges From La. Special Session
BATON ROUGE, La. (AP) — With the focus on filling state budget gaps, an effort to rewrite Louisiana's corporate tax laws was largely overlooked as it won passage in the special legislative session.
Voters will be asked to consider the tax revamp on this fall's ballot. It's the only substantive tax change that wasn't just aimed at raising cash to emerge from the session.
The package of bills by Rep. Walt Leger, a New Orleans Democrat, would do away with a tax break that allows businesses to deduct federal income taxes from their state tax liability. In exchange, corporations would be taxed at a flat rate of 6.5 percent, rather than varying tax rates up to 8 percent.
Supporters say the structure would be more competitive. Opponents worried the change could raise business taxes.
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