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.
- Louisiana offers the Industrial Tax Exemption Program, which provides property tax abatement for up to ten years on a manufacturer’s new investment and annual capitalized addition.
- Manufacturers may qualify for the Quality Jobs program, which provides up to a 6 percent cash rebate of annual gross payroll for new, direct jobs for up to 10 years. It could also provide a state sales/use rebate on capital expenditures or a 1.5 percent project facility expense rebate for qualified expenses.
- The Enterprise Zone program provides either a $3,500 or $1,000 tax credit for each certified net new job created and either a state sales/use tax rebate on capital expenses or 1.5 percent investment tax credit for qualifying expenses.
- 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.