From Entreedicta

From Entreedicta:
Louisiana Film Tax Credit legislation deserves support
PostDateIcon June 6th, 2010 | PostAuthorIcon Author: admin

Fortunately most of Louisiana legislators, including Governor Bobby Jindal, see tax credits as an important part of the state???? the economy and pressure to expand the program. Jindal said he would support extending the current 25 percent tax credits for film extra two years and 5 years on infrastructure credits. Jindal also supports eliminating the 2009 deadline for the Digital Media Production Tax Credit, a program for the development of video games, animation and special effects. And since legislators seem to agree on continuing the debate moves to the question of what the future should look like for the tax credit program? Among the factors being discussed during the debate on the future of Louisianaâ???? Incentive Program for the film are: * Louisiana’s incentive structure created Motion Picture Act allows film producers to state for tax credits on their products to Louisiana and skilled labor costs. These tax credits can be converted into cash and help make a film based productions Louisiana more lucrative for producers and investors. The percentages and use of tax credits are something that the legislature should examine it carefully to ensure that the program remains competitive. * Financial impact of the film industry Cinema has become an important economic engine for Louisiana. Reports on the state Film Office that Louisiana has taken over $ 2 billion in revenues and $ 200 million in payroll generated by the film and television between 2002 and 2008. * Infrastructure development key support film productions of films no longer continue to take place in Louisiana a solid infrastructure related film has taken root across the state. These include post-production services, staffing, finance and even special education programs is now statewide. * Impact of a deteriorating economy, like most states, Louisiana is facing a budget deficit for 2009. Declining state revenues makes it more difficult to extend the tax incentives in times of economic downturn. However, the potential decrease in jobs or revenue from film and television is more concern for state officials. * Increased pressure from other states on the success of Louisianaâ???? State film program of the other are now trying to compete in this sector and have begun to offer incentives of their own. States like Georgia and Michigan have “raised the stakes” in setting tax credit to higher levels has already been done before. It is a great debate in the Member States, whether or not this is financially viable, but the net effect has been greater competition. FBT Film & Entertainment would like to see the film tax credits extended in their current state. While other states have established programs with greater reductions Louisiana has many other factors that contribute to leveling the game, including unique places, strong film infrastructure, highly qualified staff and ongoing support of the state and local officials.