House Bill No. [insert number] proposes an amendment to the Louisiana individual income tax law, specifically R.S. 47:297.8(A)(2), to increase the earned income tax credit from 5% to 10% of the federal earned income tax credit for eligible individuals. This change will apply to tax years beginning on or after January 1, 2026, and will remain in effect through December 31, 2030. The bill retains the provision that if the credit exceeds the taxpayer's liability, the excess will be refunded from current tax collections.

The effective date for this increase in the earned income tax credit is set for January 1, 2026. The proposed law aims to provide greater financial relief to eligible taxpayers by enhancing the state credit based on their federal earned income tax credit, thereby supporting low- to moderate-income individuals and families in Louisiana.

Statutes affected:
HB133 Original: 47:8(A)(2)