Louisiana Tax Credit for Healthcare Providers

 

Small Town Health Professionals Tax 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.

What is the Small Town Health Professional Tax Credit?

The Small Town Health Professionals credit allows for approved applications to receive a nonrefundable tax credit with no carryforward equal to the lesser of the tax due or thirty six hundred dollars ($3,600), unless subject to proration, for the tax period deemed eligible. In the event the taxpayer is subject to proration due to the credit cap provisions, the taxpayer shall only be eligible for a credit equal to the pro rata amount for the tax period deemed eligible. Starting in 2019, applications will be accepted September 1st- October 31st.

Health Professionals who qualify:

Applications are open to 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 practice dentistry; 3) primary care nurse practitioners licensed by the State of Louisiana; 4) primary care physician assistants; 5) optometrist.

Qualifications for the Small Town Health Professional Tax Credit:

The Rural Health Care Professional Tax Credit states that the applicant 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, nurse practitioners, physician assistants, and optometrist 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. Accept Medicaid and Medicare payments for services rendered. The ONLY exception are dentists and optometrist and should contact Yasmeen Mohammed at Yasmeen.Mohammed@la.gov for clarification.
  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.

For qualified applicants:

Apply Here

LA Small Town Health Professional Tax Credit Qualifications

LA Small Town Health Professional Tax Credit FAQ

Determining Rural and HPSA Designations