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LA HB594

Bill

Status

Engrossed

5/27/2025

Primary Sponsor

Chance Henry

Click for details

Origin

House of Representatives

2025 Regular Session

AI Summary

  • Replaces Louisiana's graduated insurance premium tax system for property and casualty insurance with a flat rate of 2.8% on gross annual written premiums, effective January 1, 2026

  • Creates automatic rate reductions of 0.2% beginning July 1, 2027, whenever annual premium and retaliatory tax collections exceed $273 million, with the rate floor set at 1%

  • Phases out premium tax rate reductions for insurers with qualifying Louisiana investments between 2029 and 2031, eliminating all such reductions by January 1, 2032

  • Limits tax reductions for qualifying Louisiana investments during 2026-2028 to the dollar amount allowed on a business's 2024 Annual Premium Tax Statement

  • Repeals the Louisiana Capital Companies Tax Credit Program (R.S. 51:1921-1935) in its entirety

Legislative Description

Establishes a flat rate of insurance premium tax and provides relative to certain insurance premium tax credits and exemptions (RR SEE FISC NOTE GF RV)

TAX/INSURANCE PREMIUM

Last Action

Read by title and returned to the Calendar, subject to call.

6/4/2025

Committee Referrals

Revenue & Fiscal Affairs5/28/2025
Appropriations4/30/2025
Ways and Means4/24/2025
Insurance4/4/2025

Full Bill Text

No bill text available