Motion Picture Tax Credit

Overview

Louisiana’s Motion Picture Investor Tax Credit provides motion picture productions up to a 30% transferable tax credit on total qualified in-state production expenditures, including resident and non-resident labor. For productions using in-state labor, Louisiana offers an additional 10% payroll tax credit.

  • Provides up to a 40% transferable tax credit.
  • $50,000 threshold for local Louisiana productions meeting certain qualifications.
  • $300,000 minimum in-state expenditure requirement.
  • For fiscal years 2016-2018 the maximum amount of credits that can be claimed per fiscal year is $180 million.
  • Tax credits may be used to offset personal or corporate income tax liability in Louisiana.
  • Tax credits may be transferred to Louisiana taxpayers.
  • Tax credits may be transferred back to the State for 85% of face value; however, the state is not accepting transfers between July 1, 2015 and June 30, 2016.
  • An array of changes have impacted this program. View Summary of impacts.

Eligibility

The program is open to all motion picture production companies headquartered and domiciled in Louisiana for the purpose of producing nationally or internationally distributed motion pictures with total Louisiana expenditures exceeding $300,000, and $50,000 for local Louisiana productions meeting certain qualifications.

Qualifying productions include:

  • Feature-length motion pictures
  • Television pilots, series or movies of the week
  • Animated feature films
  • Animated short films
  • Webisodes or any other digitally distributed motion picture
  • Documentaries
  • Commercials

Non-qualifying productions include:

  • Televised news
  • Sporting events

Eligible Production Expenditures

  • Salaries for services performed in Louisiana directly related to the state-certified production; projects initially certified on or after July 1, 2015 with individual payroll payments exceeding $3 million to an individual shall exclude the excess of $3 million as an eligible expenditure. This limitation does not apply to loan-outs
  • Producer fees for services performed in Louisiana
  • Rentals/purchases of tangible goods from a source within the state and directly used on
    a state-certified production in Louisiana
  • Camera rentals
  • Soundstage rental
  • Hotel
  • Catering/craft services
  • Props rental
  • Lumber and other building materials directly related to the state-certified production
  • Lighting and grip
  • Makeup
  • Wardrobe
  • Leasing of vehicles
  • Visual FX packages for services performed in Louisiana
  • Editing services performed in Louisiana
  • Film processing performed in Louisiana by a Louisiana processing company
  • Sound mixing
  • Other post-production services performed in Louisiana
  • Marketing and promotion expenses on certain Louisiana expenditures

Additional Credits:

  • Louisiana resident payroll: Compensation for services paid directly to a Louisiana resident shall be eligible for a 10% payroll tax credit (payments made to a loan-out company are not eligible for this credit).

Non-eligible Production Expenditures

  • Salaries for services performed outside of Louisiana
  • Rentals/purchases of tangible goods from a source outside of Louisiana
  • Rentals/purchases of tangible goods from a source within Louisiana but used outside of the state
  • Related-party finance fees
  • Application fee
  • Expenditures for marketing and distribution
  • Non-production related overhead
  • Costs related to the transfer of tax credits
  • State/local taxes
  • Above the line services exceeding 40% for initial certifications issued on and after July 1, 2015
  • Above the line services related party transactions exceeding 12% for in state certified productions initially certified on or after December 31, 2015
  • Verification report fee
  • Airfare for initial certification received on and after July 1, 2016
  • Bonds, fees, insurance premiums, finance fees, loan interest fees for initial certifications received on and after July 1, 2016 except fees paid to certain Louisiana companies

Program Statutes & Rules: 

All incentive program rules are in the Louisiana Administrative Code maintained by the Office of the State Register.

How to Apply

Apply online using FastLane and submit application fee and verification report fee.

If you have any questions or need to know if credits have been certified, contact our office at 225.342.5403 or led-entertainment@la.gov.

For more information on the motion picture industry, contact the program administrator:

Stephen Hamner
Director, Film and Television
225.342.4838
stephen.hamner@la.gov

Amanda Hafford
Assistant Director, Film
225.342.5403
amanda.hafford@la.gov