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CPA's, EA's, Tax Preparers - Denied LA Solar Credit

Posted on 8/23/16 at 9:58 am
Posted by SippyCup
Gulf Coast
Member since Sep 2008
6147 posts
Posted on 8/23/16 at 9:58 am
Anyone have clients receiving the letters yet? I had two clients bring in their letters last week and they were both e-filed on the first day. I'm curious as to how the state managed the influx of filings and if they really were on a first come first serve basis.

As with any refund denial they have the right to appeal but I'm not sure if its worth the time and money. Might as well wait for the law suits to settle as was the case with the alternative fuel tax credit.
This post was edited on 8/23/16 at 9:58 am
Posted by LSUFanHouston
NOLA
Member since Jul 2009
37162 posts
Posted on 8/23/16 at 10:35 am to
Yup. Tell your clients to call their state rep and state senator and raise holy hell. The legislature voted for this stupid cap system, instead of doing the rational thing and just cutting them off for all panels purchased after a certain date.

I've been told they are truly doing it in first-in order. No way to know if this is true.
Posted by Poodlebrain
Way Right of Rex
Member since Jan 2004
19860 posts
Posted on 8/23/16 at 3:41 pm to
The LDR is being a good soldier for the state of Louisiana, and following orders that it knows are going to be ruled invalid. They are doing what is necessary to manage cash flows for purposes of having a balanced budget. The courts will eventually determine that all who acted in good faith and qualified for the solar credit when they purchased the equipment are entitled to the credit. There is no financial benefit for your clients to pursue the matter before the courts act, and there it may be detrimental to you as a professional if you alienate one, or more, LDR employee.

Explain the situation to your clients, and tell them that any fees they pay to pursue the matter will not accelerate recovery of the tax credit. Use the alternative fuel credit as a historic reference that they will get paid when the courts invalidate the ex post facto law and violation of equal protection.
Posted by TigerintheNO
New Orleans
Member since Jan 2004
41244 posts
Posted on 8/28/16 at 1:17 pm to
WWLTV did a segment on the Solar Credit over the summer. It went through the process of what is now taking place. Their website might have a link to the story.
Posted by CoachChappy
Member since May 2013
32599 posts
Posted on 8/29/16 at 10:33 am to
We e-filed ours 2 years ago and was told it would have to be paper filed. Then, the return went into a review status that took months to be reviewed. I want to say we got our refund check somewhere in October.
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