Renewal Community

Recently, Ouachita Parish received a designation from the U.S. Department of Housing and Urban Development as an "Urban Renewal Community". That designation brings tremendous tax incentives to businesses currently existing and which would build or relocate inside the boundaries of the Renewal Community. These incentives are in the form of tax credits for employees (both current and new hires), increased tax deductions, 0% capital gains on assets of the business sold after being held 5 years, and greatly accelerated commercial revitalization expense deductions. To read more about the renewal community, click here.

Incentives and Taxes
Other Louisiana Business Incentives
Financial Assistance

Incentives and Taxes

Both new and existing companies can take advantage of Louisiana's business incentive programs. The focus of the incentive programs is on the creation of new jobs and training of new as well as existing workers so they are prepared for the changing business environment.

OEDC assists companies with the state incentive programs to insure that the greatest benefit can be awarded.

Quality Jobs Program

Louisiana's Quality Jobs Program grants qualifying businesses engaged in manufacturing or other basic industries a refundable tax credit based on state benefits derived from annual gross payroll. The program can be used in conjunction with the Industrial Property Tax Exemption Program.

Industrial Property Tax Exemption Program

Louisiana's Industrial Property Tax Exemption Program exempts new manufacturing facilities and expansions from state, parish and local property taxes for up to ten years. It can be particularly important to a capital-intensive industry. Program benefits can be combined with those of other programs, such as the Enterprise Zone or Quality Jobs programs.

Enterprise Zone Program

Louisiana's Enterprise Zone Program provides tax credits and other incentives to businesses locating in officially designated Enterprise Zones. EZs are urban or rural areas of high unemployment, low income, and/or where a large number of residents are receiving some form of public assistance.

Inventory Tax Credit

The Inventory Tax Credit provides a 100 percent refundable tax credit against state corporate income and franchise taxes for inventory taxes paid to political subdivisions.

Corporate Jobs Tax Credit Program

The Corporate Jobs Tax Credit Program provides credits of up to $225 per new worker. The credits can be used to satisfy state corporate income taxes and are an alternative option to the benefits of the state's industrial property tax exemption program and Enterprise Zone program benefits.

Workforce Development Training Program

The Workforce Development Training Program provides customized pre-employment and workforce upgrade training to existing and prospective businesses. The program can underwrite up to $250,000 of the cost of specialized training for an existing job in a specific project.

Incumbent Worker Training Program

Louisiana boasts the largest existing worker training program fund in the country. The $50 million fund assists existing businesses in upgrading the skills of their employees to meet the demand for greater skill sets.

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Other Louisiana Business Incentives

Freeport Law

Cargo in transit are exempt from taxation as long as they are kept intact within their smallest original shipping container. Most manufacturers can bring raw materials into the state without paying taxes on them until they are placed in the manufacturing process or shipped out of state.

Foreign Trade Zones

Louisiana's six Foreign Trade Zones make it possible to import materials and components into the U.S. without paying duties until they enter the U.S. market. Goods shipped directly out of the country from FTZs are duty-free.

Restoration Tax Abatement

Encourages restoration of buildings in special districts by abating Ad Valorem Taxes on improvements to the structure for up to ten years.

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Financial Assistance

Louisiana Economic Development Corporation

The Louisiana Economic Development Corporation (LEDC) was established in July, 1988 by an Act of the Legislature. LEDC serves as the one reviewer and administrator of the Department of Economic Development's loan, guaranty, and grant programs. LEDC administers several programs for small Louisiana businesses, ranging from loan guarantees to venture capital.

Louisiana Public Facilities Authority

The Louisiana Public Facilities Authority is a private publicly funded corporation that administers Industrial Revenue Bonds (IDBs) for businesses expanding or relocating to Louisiana.
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