SB 318 — TAX EXEMPTIONS: Provides relative to tax exemption budget and return on investment reports published by the Department of Revenue. (gov sig) (EN INCREASE LF EX See Note)

318 ENROLLED (3) The total tax burden by industry group by tax type before the exemption.

Section2.R.S.47:1517(B)(3)and(4)and(C),and1517.1(B)(4)areherebyrepealedSection2. in their entirety.

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SLS 26RS-465 ENGROSSED SB NO.

318 Section 3.

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[R.S.

1:13(B) and 24:177(E)] DIGEST SB 318 Engrossed 2026 Regular Session Reese Present law requires the secretary of the Dept.

of Revenue to prepare and submit a tax exemption budget, hereinafter "TEB", to the governor and the legislature by March 1st of each year.

Proposed law retains present law.

Present law requires publication of the TEB on the LaTrac website or any subsequent database that may replace the LaTrac website.

Proposed law changes the publication location to the Dept.

of Revenue's website.

Present law requires the TEB to include each tax exemption, the statutory citation of the exemption, and the purpose of the exemption.

Proposedlawrepealstherequirementtoincludethepurposeoftheexemptionbutotherwise retains present law.

Present law requires the TEB to include the estimated cost of administering and implementing the tax exemption for the three precedingfiscal years, the current fiscal year, and the next fiscal year.

Proposed law repeals present law.

PresentlawrequirestheTEBtoincludethenumberoftaxpayersthatreceiveeachexemption as well as the parish or location of each business receiving the exemption.

Further requires the information be displayed in a manner that identifies all of the following:

(1) The industry group by North American Industry Classification System sector.

(2) The number of taxpayers by industry.

(3) The total tax burden by industry group by individual tax before the exemption.

(4) The total value to each industry group for each exemption.

(5) The total tax value by each industry group by individual tax of the tax collections after the exemption.

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Words which are struck through are deletions from existing law;

words in boldface type and underscored are additions.

SLS 26RS-465 ENGROSSED SB NO.

318 Proposed law repeals present law.

Present law requires the information related to the number of taxpayers that receive each exemption as well as the parish or location of each business receiving the exemption be published to the extent available to the department on a schedule determined by the secretary.

Further requires the secretaryto ensure no confidential information is published.

Proposed law repeals present law.

Present law requires the exemptions be organized in the TEB into a schedule at the beginning by certain classifications.

Proposed law clarifies that each tax exemption must be classified into one of a list of categories but does not have to be in a schedule at the beginning of the TEB and otherwise retains present law.

Present law prohibits any statute, exemption, exclusion, credit, rebate, or deduction from being listed in multiple categories without a specific notation.

Proposed law repeals present law.

Present law allows the secretary of the Dept.

of Revenue to add categories to the opening schedule as necessary.

Proposed law repeals present law.

Present law requires the TEB to include an assessment based on the following criteria:

(1) Whether or not each tax exemption has been successful in meeting the purpose for which it was enacted, in particular, whether each tax exemption benefits those originally intended to be benefited, and if not, those who do benefit.

(2) Whether each tax exemption is the most fiscally effective means of achieving its purpose.

(3) Unintended or inadvertent effects, benefits, or harm caused by each tax exemption, including whethereachtax exemption conflicts with other state lawsor regulations.

(4) Whether each tax exemption simplifies or complicates the state tax statutes.

Proposed law repeals present law.

Present law requires each state agency that administers a tax incentive to issue a report no laterthanApril1stofeacheven-numberedyearthatincludesthenumberofemployeeshired with a La.

driver's license at the time of hire for any tax incentives that includes a job creation component.

Proposed law repeals present law.

Proposed law requiresthe department to prepareand submit a business tax benefit report to the legislature and the governor no later than September 1st each year.

Further requires the business tax benefit report to include a listing of each tax exemption that provides a tax savings or financial benefit to businesses with certain exceptions.

Proposed law requiresthebusiness tax benefitreportto presenttheinformationin amanner that identifies the following:

(1) The industry group by North American Industry Classification System sector.

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Words which are struck through are deletions from existing law;

words in boldface type and underscored are additions.

SLS 26RS-465 ENGROSSED SB NO.

318 (2) The number of taxpayers by industry.

(3) The total tax burden by industry group by tax type before the exemption.

(4) The total value to each industry group for each exemption.

(5) The total tax burden by industry group by tax type after the exemption.

Further disallows that the business tax benefit report from including any confidential information.

Effective upon governor's signature or lapse of time for gubernatorial action.

(Amends R.S.

47:1517(B)(1) and (2)(intro para);

adds R.S.

47:1517.3;

repeals R.S.

47:1517(B)(3) and (4), and (C), and 1517.1(B)(4)) Summary of Amendments Adopted by Senate Committee Amendments Proposed by Senate Committee on Revenue and Fiscal Affairs to the original bill 1.

Repeals TEB requirement to include certain information and to provide the information in a particular format.

2.

Creates requirement for LDR to annually publish a business tax benefit report.

3.

Requires certain information to be contained in the business tax benefit report.

4.

Makes technical changes.

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