La. R.S. 47:300.6 — Louisiana taxable income of resident estate or trust

A. Definition. "Louisiana taxable income" of a resident estate or trust means the
taxable income of the estate or trust determined in accordance with federal law for the same
taxable year, as specifically modified by the provisions contained in Subsection B of this
Section.
B. Modification. For purposes of this Section, federal taxable income shall be
modified by adding or subtracting the items set forth below:
(1) There shall be added to federal taxable income, unless already included therein:
(a) Interest on obligations of a state or political or municipal subdivision thereof,
other than Louisiana and its municipalities, title to which obligations vested with the resident
estate, trust, or fiduciary on or subsequent to January 1, 1980.
(b) Net income taxes paid to any state or political or municipal subdivision thereof
within the taxable year.
(c) Repealed by Acts 1998, No. 61, §2.
(2) There shall be subtracted from federal taxable income, unless already excluded
therefrom:
(a) Any income that is exempt from taxation under the laws of Louisiana or that
Louisiana is prohibited from taxing by the constitution or laws of the United States.
(b) Deductions from gross income or depletion.
(i) In computing net income in the case of oil and gas wells, there shall be allowed
as a deduction cost depletion as defined under federal law or percentage depletion as
provided for in Item (ii) whichever is greater.
(ii) In the case of oil and gas wells, the percentage depletion provided for in Item (i)
shall be twenty-two percent of gross income from the property during the taxable year,
excluding from such gross income an amount equal to any rents or royalties paid or incurred
by the taxpayer in respect of the property. Such allowance shall not exceed fifty percent of
the net income of the taxpayer, computed without allowance for depletion from the property.
In determining net income from the property, federal income taxes shall be considered an
expense.
(c) An exemption amount, that when combined with the federal exemption amounts
allowed under 26 U.S.C. 642(b) used to calculate federal taxable income, would total two
thousand five hundred dollars.
(d) The amount of the exclusion provided for in R.S. 47:297.3 for S Bank
shareholders.
(e)(i) Net income or losses received from an entity of which the estate or trust is a
shareholder, partner, or member if the entity properly filed a Louisiana corporation income
tax return pursuant to R.S. 47:287.732.2 which included the net income or loss. However,
no such exclusion shall be allowed for any amount attributable to income that, for any
reason, will not bear the tax due pursuant to R.S. 47:287.732.2.
(ii)(aa) An estate or trust whose federal income tax return is adjusted due to S
corporation or partnership income or losses for which the estate or trust used the exclusion
provided in Item (i) of this Subparagraph shall furnish a statement to the secretary disclosing
the nature and amounts of such adjustments within sixty days after the federal adjustments
have been made and accepted by the estate or trust. However, if the estate or trust does not
receive a statement of the federal adjustments until after it accepts the adjustments, it shall
have sixty days from the receipt of such statement within which to furnish the required
statement to the secretary.
(bb) For purposes of Subitem (aa) of this Item, paying the federal tax shown due or
signing a consent to immediate assessment shall constitute an acceptance of the federal
adjustments.
(3) For taxable years beginning on or after January 1, 2025, a deduction shall be
allowed from federal taxable income for the cost of qualified property, qualified
improvement property, and research and experimental expenditures as provided for in R.S.
47:297.25.
Acts 1996, No. 41, §1, eff. for taxable periods beginning after Dec. 31, 1996; Acts
1998, No. 61, §§1, 2, eff. for taxable periods beginning after Dec. 31, 1997; Acts 2000, No.
40, §1, eff. for taxable periods beginning after Dec. 31, 2000; Acts 2002, No. 30, §1, eff. for
taxable periods beginning on or after Jan. 1, 2003; Acts 2016, 1
st
Ex. Sess., No. 30, §1; Acts
2021, No. 395, §1, eff. Jan. 1, 2022; Acts 2023, No. 450, §1; Acts 2024, 3rd Ex. Sess., No.
11, §2, eff. Dec. 4, 2024.
NOTE: FOR TAXABLE PERIODS BEGINNING PRIOR TO JAN. 1, 1998, THE
TAX SHALL BE AS REQUIRED BY LAW PRIOR TO JAN. 1, 1997.