Louisiana Department of Revenue Adopts/Amends Three Tax Regulations and Issues New Revenue Information Bulletin

On March 27th, the Louisiana Department of Revenue issued four policy statements for Louisiana taxpayers.

Specifically, the Department has amended the following tax regulations:

• LAC 61:III.2103 – Voluntary Disclosure Agreements

The Department’s voluntary disclosure agreement (VDA) regulation has been amended to clarify the meaning of the phrase “voluntary disclosure agreement” and to set forth the conditions under which a VDA applicant may qualify for a VDA, the process for entering into a VDA with the Department, and the requirements that must be complied with in order for the Department to remit or waive payment of penalties as part of a VDA.

• LAC 61:III.2101 – Penalty Waiver

The Department’s penalty waiver regulation has been amended to direct taxpayers to rules and regulations promulgated by the Department concerning the waiver of remittance of penalties under its VDA program.

In addition, the Department has now adopted the following new tax regulation:

• LAC 61:I.1912 – New Markets Jobs Act – Premium Tax Credit

This newly enacted regulation concerns Louisiana’s New Markets Job Act premium tax credit, and explains certification of the qualified entity investment, tax credit sales, recapture, and reporting.

 The Department has also issued the following new Revenue Information Bulletin (RIB):

• Revenue Information Bulletin No. 15-007 – Natural Gas Severance Tax Rate (Effective July 1, 2015 through June 30, 2016)

In this RIB, the Department explains that the new natural gas severance tax rate (effective July 1, 2015 through June 30, 2016) has been set at 15.8 cents per thousand cubic feet (MCF) measured at a base pressure of 15.025 pounds per square inch absolute and at the temperature base of 60 degrees Fahrenheit.