Customized Incentive Packages
Louisiana’s highly competitive incentives are offering both new and existing energy operations significant advantages.
- 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.
- The Quality Jobs program 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 investment tax credit for qualified 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 energy industry. The incentive is applicable to customer-facing software including energy-specific applications like seismic evaluation, well design or 3-D visualization. Eligible projects receive up to a 35 percent refundable tax credit for payroll expenditures and up to a 25 percent refundable tax credit for qualified production expenditures. If the amount of tax credits exceeds the company’s state income and franchise tax liabilities, the company receives the balance as a refund.
Louisiana values business investment, and when a company moves or expands its energy industry operations here, it can count on innovative solutions to meet the project’s specific needs. For competitive projects that involve substantial new-job creation, major investment and the majority of sales to out-of-state customers, Louisiana is agile and flexible — customizing incentives and workforce solutions, aligning state and local resources, connecting a company with valuable assets, and coordinating permitting and startup activities to ensure that operations proceed smoothly and on schedule.