La. Revenue and Taxation § 47:2138

Current with changes from the 2024 Legislative Session

Section 47:2138 - Advance tax payment agreement; ad valorem tax; credits

A. Agreement.

(1) A local taxing authority, hereinafter referred to as "taxing authority", may enter into an advance tax payment agreement with a taxpayer to provide for the advance payment of certain ad valorem taxes in exchange for the issuance of tax credits by the taxing authority to the taxpayer, hereinafter referred to as "agreement". An agreement may require the taxing authority to pay interest associated with the tax credits at a rate not to exceed the effective judicial interest rate established under R.S. 13:4202(B).

(2) For purposes of this Section, "taxpayer" means the owner of a property that is under contract for the ad valorem property tax exemption authorized under Article VII, Section 21(F) of the Constitution of Louisiana and who is a party to the agreement which requires the taxpayer to make advance payment of ad valorem taxes.

B. Tax credits. As provided in the agreement, the taxpayer shall be entitled to ad valorem tax credits issued by the taxing authority in an amount equal to the amount of advance tax payments made under the agreement plus interest. No more than twenty percent of the total value of the taxpayer's tax credits may be claimed against the taxpayer's tax liability in any tax year. The tax credits may be applied only to tax liabilities which become due on the taxpayer's property that is the subject of the exemption contract under Article VII, Section 21(F) of the Constitution of Louisiana.

C. Notification to the Board of Commerce and Industry. A taxpayer that has entered into an agreement shall provide the Board of Commerce and Industry with a copy of the executed agreement within thirty days of execution.

D. Notwithstanding any provision of administrative law or policy to the contrary, a taxpayer's participation in an agreement shall have no bearing or effect upon the taxpayer's eligibility for or continued benefit from an exemption contract authorized under Article VII, Section 21(F) of the Constitution of Louisiana.

La. Revenue and Taxation § 47:2138

Acts 2018, No. 328, §1, eff. May 15, 2018.

Added by Acts 2018, No. 328,s. 1, eff. 5/15/2018.