If the in-state spend is at least $50,000 but less than $300,000 a 35%* tax credit is allowed on qualified expenditures, provided specific requirements are met.

For the full 50%* on Louisiana resident payroll, residency forms are required. Payments to artists’ loan-out companies are ineligible for this credit.

The state-certified production must participate in a career-based learning and training program approved by LED.

Out-of-Zone Bonus: a 5% bump on state-certified productions that have their production office and at least 60% of principal photography occurring outside of the New Orleans Metropolitan Statistical Area. This is a blanket bonus for all in-state expenses as long as the criteria is met. 

The following parishes are within the New Orleans Metro Area: Orleans Parish, Jefferson Parish, Plaquemines Parish, St. Bernard Parish, St. Charles Parish, St. James Parish, and St. Tammany Parish.

All other parishes, including St. John the Baptist Parish, qualify as out-of-zone.

Productions must submit an online application that includes: a detailed preliminary budget (including all hires); a detailed preliminary Louisiana budget; a detailed distribution plan; a script or synopsis; a statement that the project meets the definition of a state-certified production; a notarized statement agreeing to pay all vendors; disclosure of any anticipated related-party transactions.

Applicants must pay LED a fee for a verification report, and a deposit of this fee is due at the time of the application. For productions with expenditures between $30,000 and $25,000,000, the deposit for the report is $7,500 and the maximum fee for the report is $15,000. For productions with expenditures greater than $25,000,000, the deposit is $15,000 and the maximum fee for the report is $25,000. 

Once the application is complete, the project is evaluated for eligibility. Within 60-90 business days of the application, Louisiana Entertainment will issue an initial certification letter—determining that the project meets eligibility requirements and will be considered a state-certified production—or a denial. 

The initial certification letter states that the project is eligible to receive potential tax credits and does NOT certify any expenditures for tax credits. Additional detailed guidelines are provided within the letter. The applicant must sign the initial certification letter and return it to Louisiana Entertainment. 

Initial certification is effective 12 month prior to and 24 months after the date of initial certification.

To get the full 50% on Louisiana resident payroll, residency forms are required. Payments to an artist's loan-out companies are ineligible for this credit.

The first $3,000,000 of payroll payments made directly to an individual will qualify for the tax credit, and this includes loan-outs. 

Expenditures for above-the-line salaries are capped at 40% of total production expenditures in the state for each project. Above-the-line salaries that are related party transactions cannot exceed 12% of the in-state spend. 

Of the $150,000,000 annual funding cap: $7,500,000 is reserved for Louisiana screenplay productions; 

*However, no project can receive a credit that exceeds 40% of their overall in-state investment.

While the maximum amount of credits that can be issued each year is $150,000,000, the maximum amount of credits that can be claimed each year is $180,000,000.

Credits are partially refundable—the state of Louisiana can buy back motion picture investor tax credits for 90% of their value. This is effectively 88% because there is a 2% LED fee required for the transfer.