COOL BLUE PICTURES

SPECIAL MESSAGE FROM THE GOVERNORS OFFICE OF FILM AND TELEVISION DEVELOPMENT

As most of you are aware, the Louisiana Motion Picture Incentive Program will be changing on January 1, 2006. The Governors Office of Film and Television Development is posting this message to dispel any of the rumours that are out there about Louisiana’s incentive program.

First, the program is NOT being repealed, eliminated or done away with due to the effects of Hurricanes Katrina & Rita. During the 2005 Regular Legislative Session, way before either of the storms hit, Act No. 456 was passed and signed into law by the Governor.† What this act did was enhance the program to include the following:

1) 25% tax credit on your in-state spend.

2) 10% additional tax credit on your Louisiana payroll.

3) 15% tax credit on any infrastructure built in Louisiana.

Also, it is important to note that on January 1, 2006, the Sales & Use Tax Exemption will sunset. It will no longer be part of Louisiana’s incentive package.

Another significant change to the process is that we will require that the production provide an independent audit of the production expenditures as per the new law:

Prior to any certification of the state-certified production, the motion picture production company shall submit to the Governors Office of Film & Television Development a cost report of production expenditures audited and certified by an independent certified public accountant as determined by rule.

Finally, another change to note will be the implementation of an application fee as permitted by the new law. The fee will be calculated as 0.2% times the estimated total incentive tax credit (minimum $200 / maximum $5,000). With this fee, you will receive your initial certification letter and 2 (if needed) certification of expenditures for your project. We will have no more than 15 business days to process your application and certifications.

Rest assured that Louisiana is still the best choice for your production & the Governors Office of Film & Television is ready to assist you in making that decision. Please contact us anytime.