Louisiana offers an array of incentives designed to support businesses, encourage investment, and foster economic development.  From tax credits to grants and rebates, these programs aim to attract businesses to the state and help them grow, create jobs, and enhance productivity.  Below are some of the key business incentives available in Louisiana.

Louisiana Economic Development (LED) FastStart Program

Overview

The LED FastStart program is a top-ranked workforce development initiative designed to help businesses establish or expand operations in Louisiana.  This program offers customized training solutions for businesses and their employees at no cost.

Eligibility

• Businesses must be new or expanding operations in Louisiana.

• FastStart works with companies in all industries, including manufacturing, energy, technology, and more.

Incentive Value

• The program offers customized training, recruitment assistance, and workforce development at no cost to businesses.

• Training programs can include onboarding, skills development, and safety training.

Application Process

Businesses must apply to LED, detailing their workforce needs and expansion plans.

Louisiana Quality Jobs Program

Overview

The Louisiana Quality Jobs Program offers state sales tax rebates, income tax credits, and other incentives to businesses that create high-paying jobs in Louisiana.  The program encourages companies to invest in Louisiana by offering financial assistance based on the number of jobs created and wages paid.

Eligibility

• Businesses must create at least five new full-time jobs, with wages that exceed the state’s average wage.

• The business must be engaged in activities such as manufacturing, technology, or research and development.

Incentive Value

• Businesses can receive a rebate of up to 6% of eligible payroll costs, which can be used to offset state income and payroll taxes.

• For high-wage jobs, the program offers up to 12% of the eligible payroll costs.

Application Process
Businesses must apply through LED, providing detailed information about the number of jobs created, wages, and investment plans.

Louisiana Industrial Tax Exemption Program (ITEP)

Overview

The ITEP is a property tax incentive program designed to encourage new industrial investments and the expansion of existing operations.  It offers an exemption from state and local property taxes on new and existing industrial property.

Eligibility

• The program is open to manufacturers and other industrial businesses.

• The business must make a significant investment in new or expanded facilities or machinery.

Incentive Value

• The program offers a property tax exemption of up to 100% on qualified investments for up to 10 years.

• Exemptions apply to both state and local property taxes.

Application Process

Businesses must apply to LED and the local governing authority, providing details of their investment and its economic impact.

Louisiana Motion Picture Investor Tax Credit

Overview

The Louisiana Motion Picture Investor Tax Credit is aimed at stimulating the film and entertainment industry in Louisiana.  This program offers a tax credit to businesses that invest in qualified production activities within the state.

Eligibility

• The program applies to film and television productions, including commercials, that spend money in Louisiana.

• The production must meet specific criteria regarding in-state spending, employment, and other requirements.

Incentive Value

• The program provides a tax credit of up to 30% of qualified expenditures made in Louisiana.

• The tax credit can be refundable or applied against Louisiana state income taxes.

Application Process

Producers must apply to the Louisiana Office of Entertainment Industry Development, providing detailed information about the production and expenses incurred in the state.

Louisiana New Markets Tax Credit

Overview

The Louisiana New Markets Tax Credit program is designed to encourage investment in low-income communities within the state.  It provides tax credits to investors who make equity investments in qualified businesses operating in these areas.

Eligibility

• Businesses must be located in a designated low-income community in Louisiana.

• The business must be engaged in activities such as manufacturing, retail, or service provision.

Incentive Value

• Investors can receive up to 39% of their equity investment in the form of tax credits.

• The credit can be used to offset Louisiana state income taxes.

Application Process

Investors and businesses must apply through LED, providing details of the business’s location, investment, and economic impact on the community.

Louisiana Research and Development (R&D) Tax Credit

Overview

The Louisiana R&D Tax Credit encourages businesses to engage in research and development activities by offering state income tax credits on eligible R&D expenditures.

Eligibility

• The program is available to businesses that conduct qualified R&D activities in Louisiana.

• Eligible activities must involve the development or improvement of products, processes, or technologies.

Incentive Value

• Businesses can receive a credit of up to 20% of eligible Louisiana-based R&D expenditures.

• The credit can be carried forward for up to five years and applied against Louisiana income taxes.

Application Process

Businesses must apply to LED and provide detailed documentation of R&D activities, expenses, and the expected economic benefits.

Louisiana Renewable Energy Tax Credit

Overview

The Louisiana Renewable Energy Tax Credit promotes the use of renewable energy by providing incentives for businesses that install renewable energy systems such as solar, wind, and biomass.

Eligibility

• Businesses must install renewable energy systems that are used for commercial or industrial purposes.

• The systems must meet certain efficiency and performance criteria.

Incentive Value

• The program offers tax credits of up to 50% of the costs associated with installing qualifying renewable energy systems.

• The credit can be applied to state income taxes.

Application Process

Businesses must apply to LED, providing documentation of the renewable energy systems installed and their costs.

Louisiana State Sales Tax Exemption for Manufacturing Machinery and Equipment

Overview

This program offers a sales tax exemption on the purchase of manufacturing machinery and equipment used in the manufacturing process.  It aims to reduce the upfront costs of expanding or upgrading manufacturing facilities in Louisiana.

Eligibility

• The exemption is available to businesses that purchase machinery, equipment, and related tangible property for manufacturing purposes.

• The business must be actively engaged in manufacturing or processing operations in Louisiana.

Incentive Value

• The program offers a full exemption from Louisiana state sales taxes on qualified equipment purchases.

• The exemption applies to new or used machinery, equipment, and related property used in manufacturing.

Application Process

Businesses must apply to the Louisiana Department of Revenue and provide documentation supporting the purchase of qualifying equipment.

Louisiana Small Business Loan and Grant Programs

Overview

Louisiana offers various loan and grant programs to support small businesses, particularly those involved in the creation of new jobs or the development of new products and services.  These programs provide access to capital to help businesses grow and expand.

Eligibility

• Businesses must be small and located in Louisiana.

• The business must meet certain criteria regarding revenue, job creation, and growth potential.

Incentive Value

• Businesses can access low-interest loans or grants to support business expansion, equipment purchases, or job creation.

• Loans may cover up to 90% of project costs, and grants are awarded on a competitive basis.

Application Process

Businesses must apply through LED, providing detailed information about their business, financials, and plans for growth.