TAX/INCOME TAX: Requires taxpayers to file a declaration of estimated tax for certain debts (Items #5 and 11) (OR NO IMPACT See Note)

This bill requires Louisiana taxpayers to file a declaration of estimated income tax if they expect to owe more than $1,000 in taxes for the year. The rule specifically targets individuals who have had debt forgiven due to lawsuit settlements or through specific financial agreements with businesses, such as those financing litigation or purchasing medical accounts receivable. Starting in the 2025 tax year, these taxpayers must submit the declaration to account for the tax liability created by the forgiven amounts. The legislation applies only to tax years beginning on or after January 1, 2025.