TAX INCENTIVE PROGRAMS
The following tax
incentives are available through the Business Incentives Division of
the Louisiana Department of Economic Development, P.O. Box 94185, Baton
Rouge, LA 70804-9185, phone: (225) 342-5399. While you may elect to
contact the agency directly, local economic development agencies are
available to provide you with additional information on these programs,
and/or to assist you in filing the Advanced Notifications for those
programs requiring such notification. The local agencies include:
- City of Shreveport’s Economic
Development Department -- (318) 673-7515 (All Programs)
- City of Shreveport’s Department
of Community Development -- (318) 673-7500 (All Programs)
- Shreveport Chamber of Commerce’s
Department of Economic Development -- (318) 677-2512 (All programs)
- The Coordinating & Development Corporation
-- (318) 632-2022 (All programs)
- Downtown Development Authority -- (318)
222-7403 (Downtown Development Tax Abatement and Facade Rebate Match
- Caddo-Bossier Port Commission -- (318)
534-2272 (Foreign Trade Zone)
A number of these programs require an Advanced Notification
form and fee be submitted to Louisiana Economic Development
(LED) prior to any construction, renovations, purchases, etc.
If you fail to submit this Advanced Notification, you will
not be eligible to participate in the program(s). ?You may
complete the application online: www.led.state.la.us./businessresources/adv_noti.asp
to the state required) Louisiana's Enterprise Zone Program provides
tax credits and sales and use tax refunds to businesses that hire at
least 35% of their new employees from one of four targeted groups. Businesses
and their contractors receiving State tax rebates or credits under the
EZ program are encouraged to give consideration to Louisiana manufacturers,
suppliers, contractors, and labor for their project.
A one time $2,500 tax credit
is generated for each certified net new job created ($5,000 tax credit
for net new job for certain automotive or aerospace companies). An additional
$2,500 tax credit may be generated in the second year of employment
if the new employee is certified as receiving assistance through the
Family Independence Temporary Assistance Program (FITAP). (Participation
in this program excludes the use of the Quality Jobs Program.) Contact:
(225) 342-9228, www.led.state.la.us./businessresources/pdf/EZ_Facts.pdf.
INDUSTRIAL PROPERTY TAX EXEMPTION
to the state required) New and
expanding manufacturers are eligible to receive five-year property tax
exemptions, renewable for an additional five years on new capitalized
purchases. The exemption may include buildings, machinery, equipment,
furniture, and fixtures for new, expanded, or renovated facilities.
As with other business incentives provided by the State of Louisiana,
in considering applications for property tax exemptions, the Board of
Commerce and Industry requests that the business and its contractors
give preference to Louisiana manufacturers, suppliers, contractors,
Contact: (225) 342-5254, www.led.state.la.us./businessresources/pdf/ITE_Facts.pdf.
RESTORATION TAX ABATEMENT
to the state required) The City of Shreveport has qualified two
districts within the city, the Downtown Development District and the
Center City Economic Development District, for participation in the
state’s Restoration Tax Abatement program. This program grants
a five year deferred assessment of ad valorem property taxes normally
assessed for improvements, expansions, restorations or development to
commercial structures or owner-occupied
residences within these districts. With approval of the state and city,
the contract may be eligible for renewal for an additional five years.
Contact: (225) 342-5402, www.led.state.la.us./businessresources/restorationtaxabate.asp.
LOUISIANA QUALITY JOBS PROGRAM
to the state required) Louisiana’s
Quality Jobs Program provides an annual rebate for up to 10-years of
5% of gross annual payroll for minimum hourly wage rates of $9.01, or
6% of gross annual payroll for minimum hourly wage rates of $11.59.
The employer must offer a basic health plan (basic hospital care and
basic physician care) within 90 days of qualifying for the program.
For employees whose wages are less than $50,000 per year, the employer
must pay at least 85% of the total premium for health insurance coverage
employees, or at least 50% of the total premium for health insurance
coverage for full-time employees and their dependents. For employees
whose wages are equal to or greater than $50,000 per year, the amount
of the employer decreases from contribution from 85% to 70% for those
employees. In addition,the program also provides a rebate of state sales/use
tax (4%) on materials for building materials,
machinery and equipment purchased during the construction period and
used exclusively on site. (Participation in this program excludes the
use of the Enterprise Zone Program.) Contact: (225) 342- 5402,
(Administered by the Caddo
Parish Assessor) Louisiana's Freeport Law exempts goods and commodities
in public or private storage from property taxes while moving through
Louisiana in interstate commerce to a final destination outside the
state. Goods must remain in the original containers. Goods imported
into Louisiana from outside the United States are likewise exempted
from property taxes so long as they remain in their original containers.
Contact: (318) 226-6737, www.caddoassessor.org.
INVENTORY TAX CREDIT
and retailers are allowed a 100% credit against state corporate income
and franchise taxes in the amount of local inventory taxes they pay.
When the amount of the inventory tax exceeds the aggregate state corporate
tax liability, a refund is made by the state in the amount of the excess.
Contact: Shreveport Office, Louisiana Department of Revenue,
Contact: (318) 676-7501.
FILM AND VIDEO SALES/USE TAXES REFUND PROGRAM
refunds three of the four cents of Louisiana state sales/use taxes paid
out by motion picture production companies that film in the state and
pay sales/use taxes on a minimum of $1 million in purchases in the state.
Contact: Office of Film & Television Development, Contact: (888)
CADDO-BOSSIER FOREIGN TRADE ZONE (FTZ)
The local Foreign Trade Zone
makes it possible to import materials and components into the U.S. without
paying duties until they enter the U.S. market. Goods shipped out of
the country from FTZs are duty-free.
Contact: Caddo-Bossier Port Commission, Contact: (318) 524-2272,
FACADE IMPROVEMENT REBATE MATCH PROGRAM
This incentive is offered
by the Downtown Shreveport Development Corporation and offers rehabilitation
funds on a match basis to encourage renovation of older buildings in
the Shreveport Downtown Development District. Eligible applicants are
property owners and tenants (with approval of the property owner). A
completed application must be submitted and approved prior to work beginning.
Rebate match is up to a maximum of $2,000 for each approved building.
Contact: (318) 222-7403, www.downtownshreveport.com.