The National Federation of Independent Business today released its small business agenda for the upcoming Louisiana legislative session, urging lawmakers to vote in favor of centralizing state sales tax collections and phasing out Louisiana’s inventory tax.
NFIB State Director Dawn Starns McVea says in a statement that NFIB members, who are small business owners, also are calling on legislators to oppose new employer mandates that could drive up the cost of doing business in the state.
The year 2020 “was an incredibly difficult year for local shops and restaurants because of the pandemic, McVeas says. “We can’t afford higher taxes and additional mandates that would make it even harder for small businesses to recover and put people back to work.”
NFIB’s top priorities in this year’s legislative session include:
• Centralizing sales tax collection: “Our members tell us HB199 by Speaker [Clay] Schexnayder would have a huge impact on their ability to be competitive,” McVea says. “Sales tax remittance in Louisiana is burdensome and time consuming. It’s time to bring Louisiana’s tax system into the 21st century.”
• Reducing the individual income tax rate: “Louisiana small business owners file as pass-through entities about 90% of the time, so the individual rate is important to the health of small businesses,” McVea says.
• Repealing the inventory tax: “Our members support the phase-out of the inventory tax in Louisiana,” McVea says. “We know that taxing business owners on their inventory before they have a chance to sell it is bad tax policy.”
• Shoring up the unemployment trust fund: “Our members are fighting to stay open and have had to endure a year’s worth of government-forced shutdown. They simply cannot afford another tax hike,” McVea says. “We urge the Legislature to make the trust fund whole with ARPA funds.”
See the full legislative agenda and NFIB’s reasoning here.