This bill amends various sections of Louisiana's tax code, specifically R.S. 47:118 and R.S. 287.655 and 287.656, to modify the calculations and penalties associated with estimated income tax payments. Key changes include reducing the percentage of tax required for estimated payments from ninety percent to seventy percent, and adjusting the period of underpayment from the fifteenth day of the fourth month following the close of the taxable year to the fifth month. Additionally, the bill introduces a new provision that allows for a different percentage (sixty-six and two-thirds percent) to be applied for individuals involved in farming and fishing.

The bill also repeals a specific provision related to exemptions from penalties for underpayment and clarifies the requirements for corporations to apply for adjustments of overpayments. The effective date for these changes is set for income tax periods beginning on or after January 1, 2026. Overall, the bill aims to streamline the process for estimated income tax payments and penalties while ensuring compliance with updated tax regulations.

Statutes affected:
HB633 Original: 47:118(C)(1), 47:655(C)(1), 47:656(A)(1), 47:118(D)(1)
HB633 Engrossed: 47:118(C)(1), 47:655(C)(1), 47:656(A)(1), 47:118(D)(1)
HB633 Reengrossed: 47:118(C)(1), 47:655(C)(1), 47:656(A)(1), 47:118(D)(1)
HB633 Enrolled: 47:118(B), 47:655(C)(1), 47:656(A)(1), 47:118(D)(1)
HB633 Act 307: 47:118(B), 47:655(C)(1), 47:656(A)(1), 47:118(D)(1)