SHREVEPORT, La. (KSLA) — Louisiana Gov. Jeff Landry has a tax reform proposal for his state. And an LSUS associate professor of political science says it would make it almost certain that just about everybody would be paying less in income taxes.
“And with the income taxes, not only would a number of people not pay any anymore, but the rates would be dropped for most individuals. It would be about 3% is what they’re talking about; it would be a flat rate,” Jeffery Sadow said.
In exchange, he added, the trade-off would be an increase in sales taxes.
KSLA News 12 spoke to Shreveport attorney Royal Alexander about how that could impact you.
“In return for all that, there will be some sales taxes on services, what the governor has called these various services,” Alexander said. “The governor is aimed toward what he describes as taxing people’s preferences rather than people’s needs.”
The plan could impact the film tax credits that Louisiana has in place, which could be a major game changer for Shreveport’s latest big investor.
Alexander believes the film tax credit most likely will be repealed.
“And we all enjoy having movies filmed here; we enjoy having the stars here. It’s a lot of fun. But if you did the analysis, ultimately it costs Louisiana more to offer those tax credits than we get back because the movie industry is here.”
As conversations progress, Sadow said, there are going to be some winners and some losers.
“It’s going to be a lot of big negotiation going on over the next month because if they’re going to have a session in the first week of november right after Election Day, then things have got to be in place.”
Copyright 2024 KSLA. All rights reserved.
