How does Louisiana handle the adjustment made under IRC Section 280C?


Internal Revenue Code Section 280C requires a taxpayer who elects to claim certain credits that are based on an expense to reduce the federal deduction for the expense by the dollar amount of the credit claimed. Under R.S. 47:287.73(C)(4) Louisiana allows the deduction of any expenses disallowed under IRC Section 280C in calculating Louisiana taxable income for corporations. Therefore the amount of the expense disallowed under IRC Section 280C can be deducted in calculating taxable income for Louisiana.

For returns filed on or after July 1, 2015, but before June 30, 2018, regardless of the tax year to which it relates, and returns for tax periods beginning during the calendar years of 2015, 2016, and 2017, 72 percent of expenses which would otherwise be deductible under federal law, can be deducted in calculating taxable income for Louisiana.

A corporation would show this modification to income on Form CIFT-620, on Schedule D and Schedule F as a subtraction. (Question & answer revised June 15, 2021).

Filing Dates


News & Announcements

August 12, 2025

Guilty plea resolves fraud investigation related to Hurricane Ida recovery

A guilty plea in a Baton Rouge criminal court closes the investigation into a fraud case related to the recovery process following Hurricane Ida in 2021.

July 31, 2025

New penalties for Kratom in effect Aug. 1

Starting Aug. 1, 2025, severe new penalties are in effect for the possession of the herbal supplement known as Kratom. Kratom is sold often as an energy booster, pain reliever and mood lifter. Its potential harmful side effects include liver toxicity, seizures and death.

July 28, 2025

Millions in state tax refunds moving to Unclaimed Property if taxpayers don’t claim them

BATON ROUGE – Louisiana taxpayers have until Sept. 6, 2025, to claim millions of dollars in state tax refunds before they become unclaimed property.


How Can This Page Be Better?

LDR wants this website to be useful and easy-to-use for you. We'd like your feedback so we can improve our site.