On March 29, Louisiana voters have the opportunity to take a bold step toward real tax reform by approving Amendment 2. This measure is a crucial component of Governor Jeff Landry’s plan to modernize the state’s tax system, making Louisiana a more attractive place to live, work, and invest. By voting in favor of Amendment 2, we can lower the tax burden on hardworking Louisianans, encourage economic growth, and set the stage for a more prosperous future.
Lowering Taxes for Families and Businesses
One of the most immediate benefits of Amendment 2 is the reduction of individual income taxes. The amendment doubles the standard deduction for seniors and lowers the top individual income tax rate, putting more money back into the pockets of taxpayers. Louisiana has long struggled with high tax burdens that discourage business investment and drive residents to states with friendlier tax policies. By reducing these rates, Amendment 2 helps ensure that families and small businesses can thrive.
For businesses, the amendment eliminates the corporate franchise tax, a burdensome tax that discourages job creation and economic expansion. Louisiana is one of the few states still imposing this outdated tax, which penalizes businesses simply for existing. By abolishing it, we can attract more companies, leading to more jobs and better opportunities for Louisiana workers.
Controlling Government Spending and Eliminating Waste
Amendment 2 imposes a much-needed limit on government spending growth. Louisiana taxpayers have too often been forced to foot the bill for an expanding government bureaucracy, without seeing real benefits in return. This amendment ensures that spending increases are kept in check, prioritizing efficiency over excess.
Moreover, it consolidates two state savings accounts, allowing the governor to use some of that money to provide direct relief to local parishes. This move streamlines financial management while preserving Louisiana’s fiscal health.
Sustaining Key Education Investments
Contrary to misleading claims from opponents, Amendment 2 does not defund education. In fact, it makes last year’s teacher pay raises permanent, ensuring that educators receive the compensation they deserve. The amendment reallocates funds from three education trust funds—without increasing taxes—to free up $300 million per year by eliminating $2 billion in debt. This approach prioritizes direct investment in schools and teachers, rather than leaving money tied up in bureaucratic accounts.
Governor Landry has committed to securing funding for early childhood education and teacher recruitment programs that previously relied on interest income from these trust funds. This is a responsible approach to funding education while eliminating unnecessary debt.
Clearing the Path for Future Tax Relief
Perhaps the most transformative aspect of Amendment 2 is that it lays the groundwork for the eventual elimination of Louisiana’s income tax. High-income taxes drive businesses and residents to states with more competitive tax structures. By shifting the state’s revenue system to a more stable and fair structure, we move closer to a future where Louisiana can join the ranks of income-tax-free states like Texas and Florida—states that have seen explosive economic growth.
Dispelling the Misinformation
Some critics have raised concerns about property tax exemptions for nonprofits and churches, but these claims are misleading. Amendment 2 simply moves these exemptions from the state constitution to legislative oversight, where they can be adjusted if necessary. This ensures flexibility for future tax reforms while maintaining protections for religious institutions and nonprofits.
Additionally, while some argue that shifting reliance from income tax to sales tax disproportionately affects lower-income residents, it’s important to recognize that the amendment maintains existing sales tax exemptions for essential goods like groceries, residential utilities, and prescription drugs. The overall tax burden will be lower, ensuring that Louisiana families benefit.
A Vote for Prosperity
Amendment 2 represents a long-overdue reform that puts Louisiana on a path toward economic competitiveness and financial stability. By lowering income taxes, eliminating the corporate franchise tax, controlling government spending, and ensuring stable education funding, this amendment delivers real benefits to Louisiana residents.
On March 29, voters have a chance to choose growth, prosperity, and financial responsibility. By voting YES on Amendment 2, we can take a significant step toward making Louisiana a stronger, more business-friendly state. Let’s move forward together.