Elimination of the onerous tax could take place over 10 years.
Louisiana Task Force Proposes Phasing Out Inventory Tax
Louisiana’s Task Force on
Structural Changes in Budget and Tax Policy has spent several months evaluating
the state’s revenue and spending structure in order to prepare a report and
recommendations for lawmakers. Following discussions late last month, one of
the key proposals from the task force is eliminating the business inventory tax
along with the corresponding tax credit.
The task force’s recommendation
will be for the Legislature to propose a constitutional amendment that would
gradually eliminate the inventory tax over 10 years, while eliminating the
inventory tax credit over five years, reported The Advocate.
The amendment would be put to a statewide vote.
This isn’t the first time phasing out the inventory tax has been discussed. In 2015, a report commissioned by the Legislature recommended gradually eliminating the tax, which NFIB/LA supported.