The governor aims to abolish a century’s worth of tax exemptions in the state of Louisiana.
Louisiana is currently facing a major issue with its tax code, which has been plagued by numerous layers of special interests for over a century. This accumulation of layers has created a complex and convoluted system that is causing significant challenges for the state.
Jeff Landry has made it clear that he intends to get rid of long-standing credits and exemptions, sending a clear message to special interests across the state.
According to the governor, it is the responsibility of leaders to ensure that policies benefit not just a select few in the state, but rather, that they are beneficial for everyone.
“We will make Louisiana move like you’ve never seen before, if we are willing to give up some of those things.”
Louisiana is projected to face a budget deficit of over $500 million in the upcoming years, as indicated by the fiscal cliff forecasts.
According to Invest in Louisiana, the task of balancing the state budget is set to become increasingly challenging in the coming years. This is primarily due to the implementation of automatic tax cuts, which are scheduled to take effect next year. Although lawmakers currently have surplus and excess funds at their disposal for the upcoming budget cycle, the situation is expected to change in the 2025-26 fiscal year. Revenues are projected to decrease while state expenses continue to rise, resulting in a potential financial standstill.