Louisiana Tax Credit for Healthcare Providers

 

Small Town Health Professionals Credit
(LAC 61:I:1915)

 

Under the authority of R.S. 47:297 (H) and 47:1511 and in accordance with the provisions of the Administrative Procedure Act, R.S. 49:950 et seq., the Department of Revenue, Policy Services Division, proposes to adopt LAC 61:I:1915 relative to the Small Town Health Professionals credit.

Revised Statute 47:297 (H) authorizes a credit for a certified medical primary care health professional who is practicing as a physician, dentist or primary care nurse practioner and who meets certain requirements. The secretary is authorized by R.S. 47:297 (H) (5) to establish the method of allocating and reserving available tax credits to primary health care professionals for a specific time period. The purpose of this regulation is to provide the requirements and procedures for applying for and reserving tax credits as well as the time periods applicable for claiming any tax credits so authorized. 

The Small Town Health Professionals credit provides an individual income tax for certified medical primary care health professionals including: (1) physicians possessing an unrestricted license by the State of Louisiana to practice medicine (2) dentists licensed by the State of Louisiana to pactice dentistry or (3) primary care nurse practioners licensed by the State of Louisiana. To be eligible for the credit, a certified medical primary care health professional must:

  1. Establish and maintain the primary office of their practice which is, as determined by the Department of Health through annual application:
    1. for medical physicians and nurse practioners, an area that is a primary care high needs geographic Health Professional Shortage Area (HPSA), or for dentists, a Dental Health Professional Shortage Area (DHPSA), as designated by the U.S. Department of Health and Human Services' Health Resources and Services Administration's Bureau of Health Workforce, Division of Policy and SHortage Designation (DPSD); and
    2. a rural area as defined in rules promulgated by the Department of Health.
    3. accept Medicaid and Medicare payments for services rendered.
  2. To be eligible for the credit, the certified medical primary care health professional must practice under the conditions set forth above for a period of not less than three tax years. In addition, the health professional must submit an annual application and receive certification from the Department of Health for each calendar year in order to claim the credit for the corresponding tax year. Under no circumstances shall a taxpayer receive the credit for more than one relocation or more than five tax years. 

Click here for the 2018 Tax Credit Application

LA Small Town Health Professional Tax Credit Fact Sheet

LA Small Town Health Professional Tax Credit FAQ