Department of Labor Incentives and Services

Louisiana Department of Labor offers substantial incentives and services for both new and existing businesses in Louisiana. Please follow the Louisiana Works link at the right for more information. If you have any questions please contact Jon Maynard at (318) 382-8233 or [email protected]

Workers’ Compensation Employers, find and download Workers’ Compensation forms. Learn about Compliance, Rules & Procedures, Medical Services, Workplace Safety, and view information about the Second Injury Board. Also, get information on Disputed Claims or Reporting Fraud.

Unemployment Insurance Learn about Louisiana’s Unemployment Compensation Law and how it affects your business — what makes a claimant eligible for benefits and when is an employer liable to pay UI taxes. Convenient online services include filing quarterly contribution reports, viewing your recent benefit charge statements, or submitting separation notices. Learn about UI tax rates. Find answers about tax audits and why they are performed. Download an employer account number application or benefit charge protest form as well as many other useful employer forms.

WorkForce Development Learn about training opportunities through the Incumbent Worker Training Program. Get information about Foreign Labor Certification to permit U.S. employers to hire foreign workers. Find out about Trade Adjustment Assistance (TAA) and North American Free Trade Agreement Transitional Adjustment Assistance (NAFTA-TAA).

Minors & Apprentices Find the needed forms and information about Louisiana Child Labor and Child Labor Laws. Search for Apprenticeship Programs, view or download Apprenticeship Brochures, and get information about Louisiana State Apprenticeship Law.

Labor Laws Information on Louisiana Labor Laws including Child Labor, Apprenticeship, Private Employment Service as well as information on Medical Exams and Drug Testing.

Louisiana Licensing Guide (PDF) Find information about statewide occupational licensing including job descriptions, wages, training/education required and contact information for the licensing authority.

State Incentives (LED)

To View and/or Download a PDF of LED’s State Incentives, click HERE.

Enterprise Zone

• Provides one time tax credit of up to $2500 ($5000 if in the aircraft or automobile manufacturing industries) for each net new permanent job for businesses expanding or locating in Louisiana. (Credits may be applied to state income tax or corporate franchise tax.). Businesses engaged in gaming, residential development or churches are not eligible.
• Eligibility requirements for tax credit
• Create 5 net new jobs within first 24 months or increase current statewide workforce by 10% within first 12 months
• New jobs must be filled by Louisiana residents
• Certify that 35% of new employees fulfill at least one of the following criteria
  • lacked basic skills
  • are physically challenged
  • were receiving some form of public assistance (such as registered applicants with Job Services)
  • are residents of an enterprise zone
• Provides rebates on sales and use taxes during the project/construction period for
  • Building construction materials
  • Machinery and equipment
  • Furniture and fixtures
• Participation in this program excludes the use of the Louisiana Quality Jobs Program

Industrial Property Tax Exemption

• Available for new or expanding manufacturing businesses
• 5 year 100% property tax exemption with the option to renew for an additional 5 years
• Exemption includes the purchases of
  • All improvements to land
  • Machinery and Equipment
  • Furniture and Fixtures

Freeport Law

• Exempts goods and commodities in public/private storage from property tax while moving through Louisiana in interstate commerce
• Exempts goods imported into Louisiana from outside the U.S. from property tax as long as goods remain in original containers

Inventory Tax Credit

• 100% tax credit against state corporate income tax and franchise tax for local inventory taxes paid
• State refund for taxes exceeding state liability

Foreign Trade Zones

• Imported materials/components into the U. S. pay no duty until they enter the market
• Goods shipped out of the country, from the foreign trade zone, are duty free
• Located a the Port of Caddo-Bossier

Restoration Tax Abatement

• Administered by the state
• 5 year deferred assessment of ad valorem property taxes on improvements, expansions, restorations, or development to commercial structures or owner-occupied residences
• Eligibility requirements
• Commercial property owners and homeowners, who expand, restore, improve or develop an existing structure in a qualifying district, Downtown Development District, Economic Development District, or Historic District or if the structure is on the List of Historic Places.
• Advanced notification to the state required
• Renewable for additional 5 years, with approval of the state and city

University Research & Development Parks Tax

• Refund Program
• Administered by the state
• Must be located in a University research and development park
• Qualified concerns – Research, Development, Manufacturing, Support or Service entities
• Tax exemptions/rebates up to 30% on corporate income tax, franchise tax or state sales/use tax not to exceed purchase price of machinery or scientific equipment used on premises
• 5 year term with option to renew for 5 additional years

Film and Video Sales/Use Tax Exclusion Program

• Administered by the state
• Available to production companies that film in Louisiana
• Expenditures in the state which equal or exceed two hundred fifty thousand dollars in connection with the filming or production of one or more motion pictures in the state within a consecutive twelve month period.
• An eligible applicant’s expenditures must be made from a checking account at any financial institution in Louisiana.
• Must be filming or producing one or more nationally distributed motion pictures, videos, television series or commercials in Louisiana within any consecutive 12-month period
• Failure to expend the minimum $250,000 liables the film/production company for all sales and use taxes

Film and Video Employment/Labor Tax Credit Program

• Administered by the state
• Available to production companies that film in Louisiana and hire Louisiana residents
• Must be filming or producing one or more nationally distributed motion pictures, videos, television series or commercials in Louisiana
• Tax credit is equal to
  • – 10% of the total aggregate payroll for residents when production costs in Louisiana equal or exceed $300,000 but less than $1 million during the taxable year
  • – 20% of the total aggregate payroll for residents when production costs in Louisiana equal or exceed $1 million during the taxable year
• The credit may be applied to any income tax or corporate franchise tax
• Unused credits may be carried forward up to 10 years

Film and Video Investor Tax Credit Program

• Administered by the state
• Available to investor/tax payers that are domiciled in Louisiana
• Must be producing feature length films, videos, television programs or commercials made in Louisiana, in whole or in part for theatrical or television viewing or as a television pilot
• Tax credit is equal to
  • – 10% of the total base investment when the investment exceeds $300,000 but is less than $8 million
  • – 15% of the total base investment when the investment exceeds $8 million
• The credit may be applied to state income tax
• Unused credits may be carried forward up to 10 years

Renewal Community Tax Benefits

Wage Credit: Up to $1,500 or 15 percent of an employee’s salary up to $10,000 for each employee who lives and works in the renewal community.

*Work Opportunity Credit: Up to $2,400 for employees hired from groups that have high unemployment rates or other special employment needs, including youth ages 18 to 24 who live in the renewal community. Other qualified groups include veterans, ex-felons, food stamp recipients, vocational rehabilitation referrals and summer youth. *Welfare to Work

Credit: Up to $3,500 for the first year and $5000 for the second year for each new hire of someone on long term family assistance.

Increased Section 179 Deduction: Allows businesses to take a deduction of up to $35,000 on equipment purchases. That lets businesses deduct all or part of the equipment cost the year it is purchased instead of deducting the expense over time.

Commercial Revitalization Deduction: Allows businesses that construct or rehabilitate commercial property to deduct a portion of the costs over a shorter period of time than permitted under standard depreciation rules.

Environmental Clean up Cost Deduction: Allows businesses looking for land to deduct clean up costs of hazardous substances in qualified areas.

Qualified Zone Academy Bonds: State OR local governments can issue bonds at no interest to them to finance certain public school programs IN SCHOOLS that have at least 35 percent of students eligible for free or reduced cost lunch program. Private businesses must contribute money, equipment or services equal to 10 percent of the bond proceeds. The federal government pays the interest in the form of tax credits.

Zero Percent Capital Gains Rate: A business that holds an asset for at least five years does not have to pay taxes on the profit of its sale.

New Markets Tax Credit: Investors in qualified projects can obtain a tax credit of 5 to 6 percent of the amount invested for each of the years the investment is held, for up to seven years of the credit period.

Low-income Housing Credit: Ten year credit for owners of newly constructed or renovated rental housing who set aside a number of units for low-income residents. The State must allocate a portion of its annual cap.

*Also available outside Renewal Communities

*Available in a limited capacity outside Renewal Communities