One of the near-term ballot items, “tax delay until completion,” has not discussed if taxes are delayed only on improvements.

If taxes are also exempted on the “unimproved property” for an indefinite period, it seems to provide an opportunity for tax avoidance. Can you clarify? 

The proposal the reader refers to — one of three suggested constitutional changes on the Oct. 14 ballot: “Do you support an amendment to exempt from property taxes materials and other property delivered to a construction site to be made part of a building or other construction?”

According to the bill containing the proposal, the exemption would apply to “property delivered to a construction project site for the purpose of incorporating the property into any tract of land, building, or other construction.”

The bill says the exemption would cease to apply “when construction is finished to the extent that the project can be used or occupied for its intended purpose.”

The exemption wouldn’t apply to any of the following, according to the bill:

“Any portion of a construction project that is complete, available for its intended use, or operational on the date that property is assessed.”

“For projects constructed in two or more distinct phases, any phase of the construction project that is complete, available for its intended use, or operational on the date the property is assessed.”

“Any public service property, unless the public service property is otherwise eligible for an exemption provided by any other provision of this constitution.”

The other two constitutional amendments on Saturday’s ballot:

“Do you support an amendment to authorize an exemption from ad valorem property tax for the total assessed value of the homestead of an unmarried surviving spouse of a person who died while performing their duties as an emergency medical responder, technician, paramedic, volunteer firefighter, or a law enforcement or fire protection officer?”

“Do you support an amendment that would dedicate any new tax levied on gasoline, diesel, and special fuels into the Construction Subfund, which solely shall be used for project delivery, construction, and maintenance of transportation and capital transit infrastructure projects and not for funding for the payment of employee wages and related benefits or employee retirement benefits?”

For more information on the amendments, visit the website of the Public Affairs Research Council of Louisiana, http://parlouisiana.org.

 

For more info: www.legis.la.gov.

The Informer answers questions from readers each Sunday, Monday and Wednesday. It is researched and written by Andrew Perzo, an American Press staff writer. To ask a question, call 494-4098 and leave voice mail, or email informer@americanpress.com.