House Bill No. by Representative Wyble proposes significant changes to Louisiana's income tax structure. The bill reduces the tax rate on individual net income from the current 3% to 2% for the year 2027, and further decreases it to 1.75% starting in 2028. Additionally, the bill increases the standard deduction for single and married-separate filers from $12,500 to $25,000 in 2027, and then to $50,000 in 2028 and thereafter. For other filing statuses, the standard deduction remains at 200% of the amount set for single and married-separate filers.

The bill also includes provisions for the annual adjustment of the standard deduction based on the Consumer Price Index (CPI-U), but changes the implementation date for this adjustment from 2026 to 2029. The new tax rates and standard deduction amounts will apply to all taxable periods beginning on or after January 1, 2026. Overall, the bill aims to provide tax relief to individuals by lowering tax rates and increasing deductions over a three-year period.

Statutes affected:
HB645 Original: 47:32(A)