Bold Business Incentives for the Aerospace Industry
Aerospace manufacturers will find a suite of highly competitive incentives designed to help their operations thrive in Louisiana.
- For competitive projects that involve substantial job creation, major investment and the majority of sales to out-of-state customers, Louisiana’s new Aerospace Manufacturing Payroll Incentive can provide up to a 12 percent payroll rebate over 10 years. Additionally, a participating company will be eligible for either a rebate of state sales and use taxes on capital expenditures or a 1.2 percent project facility expense rebate.
- Louisiana offers the Industrial Tax Exemption Program, which provides up to 100 percent property tax abatement for up to 10 years manufacturer’s qualifying capital investments.
- In addition, the Digital Interactive Media and Software Development Incentive — the nation’s strongest, most comprehensive incentive for software development — provides a unique advantage to the aerospace industry. The incentive is applicable to customer-facing software, including aerospace-specific applications like navigation, communications, radar, defense and other embedded systems. Eligible projects receive a 25 percent refundable tax credit for payroll expenditures and an 18 percent refundable tax credit for qualified production expenditures. If the amount of tax credits exceeds the business’ state income and franchise tax liabilities, the business receives the balance as a refund.