PKCPAMST
Level 5

If a federal credit is taken under IRC Sec 1341, the taxpayer can  take a deduction, not credit, on the Louisiana return.

In Lacerte, go to Screen 51 - Modifications. In the fourth field from the bottom - Other nontaxable income (Ctrl+E), enter “IRC Sec 1341” Income and the repaid amount. It will print on IT-540-2D,  Schedule E under Exempt Income with Code 49E.