House Bill No. by Representative Glorioso amends R.S. 47:116(A) to modify the requirements for filing declarations of estimated income tax in Louisiana. The bill establishes that, starting from tax years beginning on or after January 1, 2025, individuals whose estimated Louisiana income tax liability is expected to exceed $300 after allowable credits must file a declaration of estimated tax for any debt forgiven due to a lawsuit settlement or debts forgiven by businesses that have entered into specific agreements with the taxpayer. These agreements include financing litigation, purchasing accounts receivable from medical providers related to tort claims, and factoring contracts for medical debts.

The bill retains the existing requirement that individuals with an estimated tax liability exceeding $1,000 must file a declaration, but it introduces the new threshold of $300 for specific circumstances involving forgiven debts. The provisions of this act will apply to taxable periods beginning on or after January 1, 2025, and it will take effect upon the governor's signature or after the designated time for gubernatorial action.

Statutes affected:
HB19 Original: 47:116(A)