Water Management

Low Taxes and Business Costs for Water Management

Louisiana’s low-tax environment offers business operations significant cost savings. According to a 50-state analysis by the Tax Foundation and KPMG: Location Matters: The State Tax Costs of Doing Business, Louisiana's tax burden ranks among the top 10 lowest in the nation for new facilities, relocations, and facility expansions for a variety of firm types, including:

  • labor-intensive manufacturing
  • capital-intensive manufacturing
  • research and development facilities
  • corporate headquarters

Customized Incentive Packages Are Available

Louisiana’s highly competitive incentives are offering both new and existing energy operations significant advantages.

  • Louisiana’s Research and Development Tax Credit provides a tax credit of up to 40 percent on qualified research expenditures incurred in Louisiana — with no cap and no minimum requirement.
  • 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 water management industry. The incentive is applicable to customer-facing software including modeling software for manufacturing/testing remote sensing instrumentation. 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.