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Louisiana's film production tax incentives could end next year if special session tax bill is signed

2 hours 1 minute 37 seconds ago Wednesday, November 13 2024 Nov 13, 2024 November 13, 2024 4:23 PM November 13, 2024 in News
Source: WBRZ

BATON ROUGE — Among the tax reforms Gov. Jeff Landry wants to implement during a special legislative session on the state's tax code is the accelerated rollback of film and television production tax credits, legislative filings indicate.

Multiple wide-ranging bills that would modify how the state applies certain tax credits and deductions — as well as establishing a flat rate for calculating income taxes for individuals, estates and trusts — would "repeal a sales tax exclusion for certain purchases by motion picture production companies."

The state's current tax incentive encouraging productions to film in Louisiana is a 25% tax credit with an investment of $300,000 or more. Filming outside of New Orleans, hiring residents on sets and using local visual effects can also increase the tax incentive percentage.

The proposed change would accelerate the end of the program from July 1, 2031, to June 30, 2025. 

"Proposed law retains present law but accelerates termination of the motion picture production tax credit," the law being proposed in the state House of Representatives says.

Film production in Louisiana has garnered national attention over the last few years with films like A23's wrestling biopic "The Iron Claw," historical fiction adaptation "Where the Crawdads Sing" and experimental independent film "The Nickel Boys" being shot in the state.

A major production — Ryan Coogler's "Sinners" — was shot in and around Donaldsonville premieres in 2025. 

Television shows like Disney Plus' "National Treasure: Edge of History" and AMC's "Interview with a Vampire" were also shot and set around the state. 

Specifically in the capital region, LSU and Baton Rouge Community College have invested heavily into digital production stage and other film technologies to train a new generation of Louisiana filmmakers.

Productions looking to shoot in the south often chose another Georgia, where many of Marvel Studios' films and "The Hunger Games" series was shot, as a Hollywood of the South.

A similar attempt at limiting tax incentives was made earlier this year in the Georgia state legislature, the Associated Press reported in February. The limiting legislation was shot down in the state Senate after passing in the House. 

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