Advocacy is one of Louisiana AGC’s top rated member services. AGC, in conjunction with our Lobbyists at Capitol Partners, represent the construction industry’s interests with the primary task of advancing the industry as a whole and protecting it from potential roadblocks.
The Advocacy efforts in the Association are led by our Legislative Committee. The Legislative Committee meets often to discuss bills we will introduce, support or oppose. As a Louisiana AGC member, your company can bring new legislation to the committee to make sure your needs and interests are accurately represented. By taking part in AGC’s Advocacy efforts you can help enact change in the Construction Industry that one company could not do so alone. LAGC is a powerful presence both locally and nationally and has become the Construction Industry’s go to source for information. Louisiana AGC’s success is what makes us the “Voice of the Construction Industry.”
The Advocacy efforts in the Association are led by our Legislative Committee. The Legislative Committee meets often to discuss bills we will introduce, support or oppose. As a Louisiana AGC member, your company can bring new legislation to the committee to make sure your needs and interests are accurately represented. By taking part in AGC’s Advocacy efforts you can help enact change in the Construction Industry that one company could not do so alone. LAGC is a powerful presence both locally and nationally and has become the Construction Industry’s go to source for information. Louisiana AGC’s success is what makes us the “Voice of the Construction Industry.”
LACG & Advantous Co-host 2-Part Legislative Webinar on the Special Session
LAGC held two webinars over the last few weeks to discuss the legislative special session on tax reform. The first webinar, titled ‘Review of Special Session on Tax Reform’, was held on November 15, and the second webinar, ‘What happened during the Special Session on Tax Reform", was held on December 9. The presentation materials can be viewed here and the video recording from the last webinar, can be seen here.
Below are a few key points we want to highlight from our recent webinar on reviewing the outcome of the Legislative Special session on tax reform:
For national business tax climate competitiveness, Louisiana is projected to potentially improve from #40 to approximately #25, according to the Tax Foundation.
-INVENTORY TAX – Parishes will have the option to exempt business inventory from property taxes through one of two choices: a full, immediate exemption with a one-time state monetary incentive, or a phased-in exemption over five years with the incentive distributed annually during that period. Parishes can additionally opt to not exempt inventory. Local governments must make their election by July 1, 2026, and once enacted, the exemption will be irrevocable. Additionally, the inventory tax credit for C-corporations will be repealed effective July 1, 2026, while it will remain in place for individual income taxpayers.
-REHABILITATION OF HISTORIC STRUCTURES – The tax credit for Rehabilitation of Historic Structures will remain but will be capped at $85M annually for applications received on or after January 1, 2025.
-VEHICLE SALES TAX – Temporary suspension (two fiscal years) of approximately $245M into the construction sub-fund of the Transportation Trust Fund (DOTD). Commitment of Governor and Legislative Leadership to backfill with surplus dollars.
-SALES TAX – The state sales tax rate will increase to 5% beginning January 1, 2025, until December 31, 2029 and then it will reduce to 4.75% beginning January 1, 2030.
-INDIVIDUAL INCOME TAX – The individual income tax will decrease to 3% beginning January 1, 2025.
-CORPORATE INCOME TAX – The corporate income tax rate will decrease to 5.5% beginning January 1, 2025.
-CORPORATE FRANCHISE TAX- The corporate franchise tax will be repealed beginning January 1, 2026.
-VENDOR'S COMPENSATION CREDIT - The state vendor's compensation credit will be reduced to $750 per month. The local credit will be repealed. GRACE PERIOD: - Neither sales tax bill (HB 8 or HB 10) includes a safe harbor provision to allow for a grace period.
-FREIGHT & TRANSPORTATION – This topic was closely monitored and was included in the expanded services proposed bill – which did not pass. However, there is language in another bill that may enact this tax. Watch closely!
2024 Legislative Update: Tax Reform Special Session Concludes
2023 Legislative Bulletins
2022 Legislative Bulletins
2020 Legislative Bulletins
2019 Legislative Bulletins
