State To Conduct Comprehensive Review Of Film Tax Incentive Program
Governor John Bel Edwards announces the state’s Economic Development department will take a comprehensive look at the Louisiana’s film tax incentive program. With reports that movie industry jobs are fleeing to other states, LED Secretary Don Pierson says it’s time to see how they can help Hollywood South.
“We’d like to see enhanced performance that has a creditable yield for the corporations and at the same time brings a great return on investment to our state.”
Changes were made to the state’s film tax incentive program in 2015. Legislators agreed to put a cap on the credits redeemed, as a way to cut down on costs to the state. Pierson admits there has been some uncertainty in the industry and that’s something they want to address.
“We’re at the point in our new fiscal year now of honoring and redeeming the credits issued and we want to make some very specific steps in restoring confidence in this market.”
Pierson says they’ll make recommendations on how to reform the program and legislators will get a chance to vote on them next year. He says they want to find a happy medium between keeping the industry going and ensuring the credits don’t become too expensive for the state.
“It’s a matter of striking that balance and achieving that return on investment for our state while sustaining the industry.”