Louisiana DOR Updates Inventory Tax Credit Rules for C Corporations, S Corporations

The Louisiana Department of Revenue (DOR) published a revenue information bulletin announcing changes to the eligibility requirements and claiming procedures for the inventory tax credit under Acts 11 and 412. The changes prohibit C corporations, estates, and trusts from earning the credit for ad valorem taxes paid on or after July 1, 2026, with exceptions for qualifying cooperatives, make credits earned by C corporations from Jan. 1, 2025, through June 30, 2026, nonrefundable, and implement new S corporation flow-through treatment beginning Jan. 1, 2026, under Act 382, while allowing S corporations and partnerships to continue earning the credit. [La. Dep’t ...