For state-certified productions approved by the
Governor's Office of Film & Television
Development:
If the total base investment is greater than
three-hundred thousand dollars ($300,000), each
investor shall be allowed a tax credit of
twenty-five percent (25%) of the base investment
made in the state of Louisiana.
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| EFFECTIVE
IMMEDIATELY FOR ALL FINAL CERTIFICATIONS: In
accordance with state law and policies of
Louisiana Economic Development, prior to any
certification of the state-certified production,
the motion picture production company shall
submit to the Governors Office of Film &
Television Development a cost report of
production expenditures audited and certified by
an independent certified public accountant in
accordance with the established auditing
guidelines. Click
HERE for a copy of the guidelines and
HERE for Act 456. |
Purpose
The purpose of this tax credit is to
encourage development in Louisiana of a strong capital
base for motion pictures, in order to achieve a more
independent and economically sustainable film and video
industry. The purpose serves to attract private
investment for the production of motion pictures and
develop a Louisiana indigenous entertainment industry
utilizing tax credits that encourage investments in
Louisiana produced films.
Application for State Certification
The Commission provides a standard form which applicants
will use to apply for state certification. The
application contains detailed descriptions of the
following:
- Name of the production company.
- Name and phone number of a company contact
person.
- Pre-production date through last production date
in Louisiana.
- Louisiana production office address.
- Louisiana production office phone number.
- Total budget of the film.
- Total expenditures in Louisiana.
- Total percentage of film being shot in
Louisiana.
- The level of employment of Louisiana cast and
crew.
- Completion bond.
- Script (including a synopsis); and principal
creative elements list (principal cast, producer,
and director).
- Detailed Distribution Plan.
- A Statement that the project meets the
definition of state-certified.
Submission and Review
Procedure
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Applicants must submit their completed
application to the director of the Governor's
Office of Film & TV Development.
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Submitted applications will be reviewed and
evaluated by the director.
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Upon determination that an application meets the
criteria for this program, the director will
send a certification letter to the investors and
the secretary of the Department of Revenue.
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Time credit earned
The tax credit is earned at the time the
investment is made in a state-certified production.
Use of the credit
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Corporation must claim on their corporation
income tax return.
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Corporate partners or members on their
corporation income or corporation franchise tax
returns.
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Individual partners or limited liability members
must claim their share of the credit on their
individual tax returns.
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Partners or limited liability members that are
estates must claim their share of the credit on
their fiduciary income tax returns.
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Unused credit
In the event the entire credit cannot be
used in the year earned, then any remaining credit may
be carried forward and applied against income tax
liabilities for the subsequent ten years.
Reporting Requirements
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A report evidencing the total base investment
made in Louisiana.
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A completed expenditure/questionnaire report
(form to be provided by the Commission).
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A final cast and crew list for the project.
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Recapture of credits
If an investor received credits for funds
not actually invested in and expended in a
state-certified production within twenty-four (24)
months of date the credits were earned ("twenty-four
month investment period"), then the investor's state
income tax for such taxable period will be increased by
the amount necessary for the recapture of those
previously granted credits.
Procedure for Recovery
The secretary of Revenue may recover
investor credits previously granted to an applicant, but
later disallowed, through any collection remedy
authorized by state law.
