Senate Bill No. 149, introduced by Senator Seabaugh, aims to repeal the earned income tax credit as outlined in R.S. 47:297.8. Currently, this tax credit allows individuals to receive a credit against their income tax based on their federal earned income tax credit, with the amount set at 5% through December 31, 2030, and decreasing to 3.5% starting January 1, 2031. The proposed legislation will eliminate this credit entirely for taxable periods beginning on or after January 1, 2026.

The bill specifies that the repeal will take effect on January 1, 2026, thereby discontinuing the earned income tax credit for eligible taxpayers from that date forward. This legislative change is part of a broader effort to modify tax credits within the state’s tax code.

Statutes affected:
SB149 Original: