LA HB485

Creates a Louisiana individual income tax deduction equal to 50% of net capital gains from the sale or exchange of equity interests or substantially all assets of nonpublicly traded businesses commercially domiciled in Louisiana

Limits eligibility to taxpayers who have held the business equity or assets for a minimum of five years immediately prior to the sale or exchange

Applies to corporations, partnerships, limited liability companies, and other business organizations that are not publicly traded

Requires the Department of Revenue to promulgate rules addressing documentation requirements, restrictions for transactions where majority of physical assets are outside Louisiana, and restrictions on related-party transactions

Applies to sales or exchanges occurring on or after January 1, 2025, and takes effect upon the governor's signature