BOARD OF TAX APPEALS STATE OF LOUISIANA

Transcription

1 BOARD OF TAX APPEALS STATE OF LOUISIANA, B.T.A. DOCKET NO. Petitioner versus KIMBERLY L. ROBINSON, SECRETARY, DEPARTMENT OF REVENUE, STATE OF LOUISIANA Respondent PETITION TO REVIEW DENIAL OF REFUND/CREDIT The Petition of, (hereinafter referred to collectively as Petitioner or Petitioners ), respectfully represents: 1. The Board of Tax Appeals has jurisdiction over this matter involving the determination of an overpayment and a claim for refund/credit pursuant to La. R.S. 47:1407(1). 2. Petitioners are individual taxpayers who have a claim for refund/credit of State of Louisiana individual income tax. Respondent, Kimberly L. Robinson, is the Secretary of the Department of Revenue, State of Louisiana (the Department ) and is made party Defendant herein pursuant to La. R.S. 47:1625.

2 3. On or about, Petitioner, by means of a 2015 original Louisiana individual income tax return timely filed a claim for refund or credit of individual income taxes paid with the Department (the Tax Return or Refund Claim ), claiming an overpayment (the Overpayment ) in the total amount of $. 4. This Overpayment occurred in part in connection with Petitioners purchase of a solar electric system for their personal residence and their entitlement thereby to a state income tax credit of $ pursuant to La. R.S. 47:6030. A copy of Petitioners 2015 Tax Return is attached hereto and made a part hereof for all purposes as Exhibit A. 5. The Department disallowed Petitioner s Refund Claim expressly in writing by a letter dated. A copy of the Department s denial letter is attached hereto and made a part hereof for all purposes as Exhibit B. 6. Pursuant to La. R.S. 47:1625, Petitioner hereby files this Petition appealing the Department s denial of Petitioner s Refund Claim. 7. La. R.S. 47:6030 states that the Legislature provides an income tax credit for the cost of purchase and installation of a solar electric system at a single family residence in Louisiana. -2-

3 8. Petitioners purchased and installed a solar electric system on their single family residence in Louisiana on or about. As indicated earlier, Petitioners claimed a state income tax credit of $ pursuant to La. R.S. 47:6030 on their 2015 Louisiana individual income tax return filed on or about. 9. By Act 131 of 2015 Regular Session of the Louisiana Legislature, amendments were made to La. R.S. 47:6030 to limit the availability of the state income tax credit for the purchase and installation of solar electric systems. Act 131 was signed by the Governor on June 19, 2015, thereby becoming effective on June 19, Act 131 amended La. R.S. 47:6030 to provide that beginning with the Fiscal Year (July 1, 2015 through June 30, 2016) the maximum amount of tax credits for purchased systems which may be granted by the Department of Revenue on any return, regardless of the tax year, would be limited or capped. For tax credits claimed on returns filed on or after July 1, 2015 and before July 1, 2016, no more than $10 million of tax credits shall be granted pursuant to Act Petitioners filed their 2015 Louisiana individual income tax return on or about, 2016 and thereby claimed the state income tax credit of $ for a solar electric system purchased and installed on their single family residence on or about -3-

4 [The purchase and installation of the solar electric system by the Petitioners on their single family residence occurred prior to June 19, 2015, the effective date of Act 131. (only if this fact is applicable)] 12. The refund denial letter issued by the Louisiana Department of Revenue indicated to the Petitioners that the credit cap limits set forth in Act 131 were met prior to the Petitioners claim being filed. Therefore, the Department s refund denial letter indicates that as of when the Petitioners filed their 2015 Louisiana individual income tax return, the credit cap of $10 million for the fiscal year July 1, 2015 through June 30, 2016 had been met. as follows: 13. Act 131 also amended La. R.S. 47:6030, specifically section 6030B(1)(c)(iv), to provide The granting of credits shall be on a first-come, first-served basis. If the total amount of credits applied for in any particular fiscal year exceeds the amount of tax credits authorized for that year, the excess shall be treated as having been applied for on the first day of the subsequent year. All requests received on the same business day shall be treated as received at the same time, and if the aggregate amount of requests received on a single business day exceeds the total amount of available tax credits, tax credits shall be approved on a pro-rata basis. Beginning in Fiscal Year any claim or request for an allocation of credits under this Section shall be filed electronically. 14. Pursuant to the section of Act 131 quoted in the paragraph above, Petitioners claim for a credit of $ filed with their 2015 Louisiana individual income tax return should have -4-

5 been treated as applied for on the first day of the Fiscal Year. That date would be July 1, Pursuant to Act 131, Petitioners should have shared on a pro-rata basis with all other claims deemed filed as of July 1, 2016 for the $10 million cap applicable to the Fiscal Year. Petitioners should have received at least a portion of the $ credit sought. 15. The Department is not following the express language and intent of Act 131 with regard to the allocation of state income tax credits for solar electric systems purchased and installed on single family residences, and is thereby acting in an illegal manner in regard to the administration of the solar credits. 16. Further and alternatively, Petitioners constitutional rights to procedural due process have been adversely affected with regard to the passage of Act 131 by the Legislature, effective June 19, 2015, and its effect on transactions occurring prior to its effective date of June 19, Additionally and alternatively, Petitioners vested contract rights have been impaired in violation of the U.S. and Louisiana Constitutions in connection with the passage of Act 131 and its effect on transactions occurring prior to June 19, Transactions such as the Petitioners purchase and installation of a solar electric system on their single family residence of, and their right at that point in time to claim a state income tax credit pursuant -5-

6 to the then existing provisions of La. R.S. 47:6030 were impaired directly and specifically by the retroactive amendments made by Act Act 131 is an unconstitutional act by the Louisiana Legislature both in form and in substance and as it is being administered by the Department. Consequently, it should be declared unconstitutional and should be invalidated. 19. Petitioners are entitled to receive the full amount of solar credit they applied for by virtue of their 2015 Louisiana individual income tax return. WHEREFORE, Petitioner prays: 1. That the Board of Tax Appeals, after duly examining the justice, merits, and correctness of this appeal, determine that Petitioner has a refundable overpayment in the amount of $ of Louisiana individual income tax, and that Board of Tax Appeals order the Department of Revenue to pay a refund in the amount of $, plus interest as provided by law. 2. That Petitioner be granted such other and further relief as law, equity, the rules, procedures and practices of the Board of Tax Appeals, and the facts and circumstances of this case may permit. Respectfully Submitted, -6-

7 Please serve: Kimberly L. Robinson Secretary Department of Revenue State of Louisiana 617 N. Third Street Baton Rouge, Louisiana AND Jeff Landry Attorney General Department of Justice, Civil Division State of Louisiana 1885 North Third Street Baton Rouge, Louisiana