HB135 • 2026

SEIZURES/SALES: Provides relative to certain exemptions from seizure with respect to motor vehicles

Healthcare Taxes

Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor: Mandie Landry
Last action: 2026-05-11
Official status: Signed by the Governor - Act 55
Effective date: Not listed

Plain English Breakdown

The candidate explanation included claims about allowing an additional exempted vehicle based on marital status or having children, which are not supported by the official source material.

Motor Vehicle Exemptions

This act increases the equity value exemption for motor vehicles used by people with disabilities or in general use, and exempts health savings accounts from seizure.

What This Bill Does

Increases the equity value exemption from $7,500 to $15,000 for one motor vehicle per household used for any purpose.
Adds a new provision allowing up to $20,000 in equity value for a modified or equipped motor vehicle that helps someone with a disability.
Exempts health savings accounts from seizure, as long as their total value does not exceed annual IRS limits.

Who It Names or Affects

People who own motor vehicles and have disabilities or need modifications for disabilities.
Households with one motor vehicle used by the debtor and his family household for any purpose.
Individuals with health savings accounts up to certain IRS limits.

Terms To Know

Equity value: The difference between a vehicle's market value and any outstanding loans on it.
Health Savings Account (HSA): A tax-advantaged savings account designed to help individuals save for medical expenses.

Limits and Unknowns

The act does not specify how the equity value of vehicles is determined beyond referencing NADA retail values.
It's unclear if there are specific requirements or certifications needed for a vehicle to qualify as 'substantially modified' under the new exemption rules.

Bill History

2026-05-11 H
Effective date: 08/01/2026.
2026-05-11 H
Signed by the Governor. Becomes Act No. 55.
2026-05-07 H
Sent to the Governor for executive approval.
2026-05-07 S
Signed by the President of the Senate.
2026-05-06 H
Enrolled and signed by the Speaker of the House.
2026-05-06 H
Received from the Senate without amendments.
2026-05-05 S
Read by title, passed by a vote of 33 yeas and 2 nays, and ordered returned to the House. Motion to reconsider tabled.
2026-04-27 S
Reported without Legislative Bureau amendments. Read by title and passed to third reading and final passage.
2026-04-22 S
Read by title and referred to the Legislative Bureau.
2026-04-21 S
Reported favorably.
2026-03-31 S
Read second time by title and referred to the Committee on Judiciary A.
2026-03-30 S
Received in the Senate. Read first time by title and placed on the Calendar for a second reading.
2026-03-26 H
Read third time by title, roll called on final passage, yeas 80, nays 9. Finally passed, title adopted, ordered to the Senate.
2026-03-25 H
Scheduled for floor debate on 03/26/2026.
2026-03-24 H
Read by title, ordered engrossed, passed to 3rd reading.
2026-03-23 H
Reported favorably (7-0-1).
2026-03-09 H
Read by title, under the rules, referred to the Committee on Civil Law and Procedure.
2026-02-13 H
First appeared in the Interim Calendar on 2/13/2026.
2026-02-13 H
Under the rules, provisionally referred to the Committee on Civil Law and Procedure.
2026-02-13 H
Prefiled.

Official Summary Text

SEIZURES/SALES: Provides relative to certain exemptions from seizure with respect to motor vehicles

Current Bill Text

Read the full stored bill text

ENROLLED
ACT No. 552026 Regular Session
HOUSE BILL NO. 135
BY REPRESENTATIVES MANDIE LANDRY AND TAYLOR
1 AN ACT
2 To amend and reenact R.S. 13:3881(A)(introductory paragraph), (7), and (8) and (D)(1) and
3 (3), relative to exemptions from seizure; to provide relative to the exemption for
4 motor vehicles; to provide an exemption for health savings accounts; to provide for
5 definitions; and to provide for related matters.
6 Be it enacted by the Legislature of Louisiana:
7 Section 1. R.S. 13:3881(A)(introductory paragraph), (7), and (8) and (D)(1) and (3)
8 are hereby amended and reenacted to read as follows:
9 §3881. General exemptions from seizure
10 A. The following income or property of a debtor is exempt from seizure
11 under any writ, mandate, or process whatsoever, except as otherwise herein provided
12 in this Section:
13 * * *
14 (7)(a) Seven thousand five hundred Fifteen thousand dollars in equity value
15 for one motor vehicle per household used by the debtor and his family household for
16 any purpose.
17 (b) If Paragraph (8) of this Subsection is not applicable to the debtor as an
18 exemption, and if the debtor is married or has a child in the household who is a
19 licensed driver, a second motor vehicle with an equity value not exceeding fifteen
20 thousand dollars. If Paragraph (8) of this Subsection is applicable to the debtor, then
Page 1 of 3
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
HB NO. 135 ENROLLED
1 only one motor vehicle is exempt under the provisions of this Paragraph. The debtor
2 shall not have more than two exempt vehicles when applying the exemptions set
3 forth in this Paragraph and Paragraph (8) of this Subsection.
4 (c) The equity value of the motor vehicle shall be based on the NADA retail
5 value set forth in the JD Power Official Used Car Guide for the particular year,
6 make, and model.
7 (8) Seven thousand five hundred Twenty thousand dollars in equity value for
8 one motor vehicle per household which vehicle is substantially modified, equipped,
9 or fitted for the purposes of adapting its use to the physical disability of the debtor
10 or his family and is used by the debtor or his family for the transporting of such
11 person with a disability for any use.
12 * * *
13 D.(1) Except as provided in Paragraph (2) of this Subsection and in R.S.
14 11:292, the following shall be exempt from all liability for any debt except alimony
15 and child support: all pensions, all health savings accounts in which the total value
16 shall not exceed the annual deduction limits for family coverage as set by the
17 Internal Revenue Service for the current calendar year, all tax-deferred arrangements,
18 annuity contracts, and all proceeds of and payments under all tax-deferred
19 arrangements and annuity contracts, as defined in Paragraph (3) of this Subsection.
20 * * *
21 (3)(a) The term "tax-deferred arrangement" includes all individual retirement
22 accounts or individual retirement annuities of any variety or name, whether
23 authorized now or in the future in the Internal Revenue Code of 1986, or the
24 corresponding provisions of any future United States income tax law, including
25 balances rolled over from any other tax-deferred arrangement as defined herein,
26 money purchase pension plans, defined benefit plans, defined contribution plans,
27 Keogh plans, simplified employee pension (SEP) plans, simple retirement account
28 (SIMPLE) plans, Roth IRAs, or any other plan of any variety or name, whether
29 authorized now or in the future in the Internal Revenue Code of 1986, or the
30 corresponding provisions of any future United States income tax law, under which
Page 2 of 3
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.
HB NO. 135 ENROLLED
1 United States income tax on the tax-deferred arrangement is deferred. The term
2 "annuity contract" shall have the same definition as defined has the same meaning
3 as provided in R.S. 22:912(B).
4 (b) The term "health savings account" means accounts for medical expenses
5 authorized by 26 U.S.C. 220 et seq.
SPEAKER OF THE HOUSE OF REPRESENTATIVES
PRESIDENT OF THE SENATE
GOVERNOR OF THE STATE OF LOUISIANA
APPROVED:
Page 3 of 3
CODING: Words in struck through type are deletions from existing law; words underscored
are additions.