House Bill No. by Representative Echols proposes the enactment of R.S. 47:6003, which establishes an income tax credit for qualifying manufacturers in Louisiana. The bill defines "qualifying taxpayer" as entities engaged in motor vehicle manufacturing, aerospace products and parts manufacturing, or medical equipment and supplies manufacturing, as classified by the North American Industry Classification System. The credit is available for any taxable year in which a qualifying taxpayer places qualified manufacturing and productive equipment property in service, with specific criteria outlined for what constitutes such property. The credit amount is calculated based on a percentage of the total aggregate bases of qualifying property, with limits set at $10 million per taxpayer per taxable year.

Additionally, the bill allows for the carryforward of unused credit amounts for up to ten years and includes provisions for recapturing credits if the taxpayer disposes of the qualified property before the end of its recovery period or removes it from the state. Taxpayers receiving this credit are ineligible for any other state tax credits or preferences for the same activities. The provisions of this act will apply to taxable periods beginning on or after January 1, 2026, and the act will become effective on that date.