For the past two years, the Louisiana legislature and Governors Bobby Jindal and John Bel Edwards have been involved in raising taxes on Louisiana citizens and businesses. Yesterday, the tax hike chickens came home to roost as nearly 400 Louisiana workers got layoff notices.
Bradken said it will suspend operations at its foundry facility in Amite, resulting in up to 65 layoffs that will occur at different times based on product flow. The first layoffs begin Oct. 26.
Dallas-based Trinity Marine Products Inc. plans to permanently close its plant in Brusly, with layoffs of 288 workers to begin Oct. 31 and end on Dec. 9. Louisiana Workforce Commission’s Rapid Response team has scheduled orientation sessions for the affected employees.
Here are some of the taxes that have been raised on businesses over the past couple of years.
- In March, the Legislature approved and John Bel Edwards signed a bill to raise the state sales tax by 20% making it more expensive for companies to do business and removing some additional business-related exemptions.
- In 2015, the Legislature approved and Bobby Jindal signed bills reducing the refundable inventory tax credit by 25%, restricting Net Operating Losses, and raising corporate tax bills by reducing credits.
- In both 2015 and 2016, the state raised utility sales taxes on businesses.
- This summer, John Bel Edwards curtailed the Industrial Tax Exemption Program and mandated that local governments approve all exemptions. This opens the door to more cronyism and corruption.
The Louisiana Department of Revenue has a list of every tax enacted in the tax orgies of the past two years.
Given all the taxes that have been levied on Louisiana businesses over the past two years, it’s no surprise that these layoffs are occurring. They certainly won’t be the last until Louisiana changes its tax policies.