Does Louisiana Offer Films A Tax Credit?

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Keisha Smith is a Contributing Writer who attended college at Southern University A&M College in Baton Rouge. She is currently writing a book on south Louisiana culture.

Louisiana Film Tax Credit: What You Need To Know

If your film needs to cut costs, one of the ways to do that is to scout for locations that are cost effective. Louisiana is one of those locations, but it’s not the only one.

Several states in the South, including Georgia, Florida, Tennessee, Mississippi and North Carolina, are vying for the tax dollars of the movie industry.

When a movie films in a city or community, the area sees an immediate bump in significance. Traffic may increase in the area as people try to get a glimpse of a movie star. Others will congregate near a production to be cast as an extra or actor.

One of the major benefits for the films is that they get a tax credit. You may be wondering what the tax credit is in Louisiana. Here are the details.

What Is Louisiana’s Tax Credit For Movies?

Louisiana’s Motion Picture Production Program, statutorily known as Motion Picture Production Tax Credit, provides motion picture productions up to a 40% tax credit on total qualified in-state production expenditures, including resident and non-resident labor.

Provides up to a 40% tax credit (25% base credit; 10% increase for Louisiana screenplay productions, 5% increase if outside of the New Orleans Metro Statistical Area).
$50,000 minimum in-state expenditure requirement for Louisiana screenplay productions.
$300,000 minimum in-state expenditure requirement on all other eligible productions.
The maximum amount of credits that can be issued is $150 million per fiscal year.
The maximum amount of credits that can be claimed is $180 million per fiscal year.
Tax credits may be used to offset personal or corporate income tax liability in Louisiana.
Tax credits may be transferred back to the State for 90% of face value (requires a 2% transfer fee which results in an 88% net).

Final Word

If you’re a movie producer or film studio executive, you may find yourself in need of a location to shoot. The state of Louisiana has one of the most generous tax breaks in the movie business.

Louisiana has made itself attractive to the U.S. movie industry by offering a 40% discount on taxes. If you have a film or TV series, consider the Pelican State as a location.

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Keisha Smith

Keisha Smith is a Contributing Writer who attended college at Southern University A&M College in Baton Rouge. She is currently writing a book on south Louisiana culture.