Louisiana Matches Georgia’s Movie Tax Credit

by Mike Godfrey, Tax-News.com, Washington

09 July 2009

State Representative Cameron Henry and Senator Robert Adley have worked together to raise the State of Lousiana's film tax credit from 25% to 30%, effective in Autumn 2009, to bring it in line with incentives in the State of Georgia. The legislation would grant movie producers a transferable 30% state tax credit on their expenses, such as catering, hotels, costumes, equipment, trucks and lighting. They get an additional tax break by hiring Louisiana workers.

An important aspect of the new legislation is that there is no sunset provision. The 30% tax credit is permanent, which should instill confidence in the movie industry. "Other states may increase their credits above 30% and that is why it is important that the State convince the ancillary businesses needed to make movies to set up shop in Louisiana," said Henry, "Georgia may have a 40% tax credit in the future, but we’ll have great sound stages and a solid work base on top of a 30% credit", Henry said. "There is so much needed to make a movie - like set designers, laundry services, people to fix the cameras, things you would never even think of. If we can create that permanent infrastructure, it will give us an advantage because everything they need will be right here."

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