This program, which targets areas with high unemployment, low income, or a high percentage of residents receiving some form of public assistance, provides state income and franchise tax credits to businesses that increase employment by 10 percent with 12 months, or that creates at least five new jobs within the first two years.
Gulf Opportunity Zone (GO Zone):
In 2005, the GO Zone Act was implemented to provide federal and state tax incentives for business development in areas impacted by hurricanes Katrina and Rita. Benefits include Tax Exempt Bonds and a 50 Percent Bonus Depreciations (on eligible facilities). Calcasieu, Cameron, and Jefferson Davis Parishes are all eligible for GO Zone benefits.
In lieu of using bonus depreciation on investments, most developments in the Louisiana GO Zone qualify for tax exempt bond finance (subject to availability of bond capacity). Interest rates on GO Zone bonds can be expected to save a borrower 1.5% to 2.5% a year.
Restoration Tax Abatement (RTA):
The RTA program provides five year property tax abatement to those looking to expand, restore, improve or develop existing structures in Downtown Development Districts, Economic Development Districts, or Historic Districts. Both commercial and residential properties are eligible for the abatement. Properties included on the National Register of Historic Places are also eligible.
Industrial Tax Exemption (ITE):
This incentive provides property tax abatement for up to ten years on new investments and capitalized additions related to the manufacturing process. This applies to improvements to the land, buildings, machinery, equipment, and all property that may be part of the manufacturing process. ITE is available to all manufacturers new to the state, as well as new investments and additions to existing facilities within the state of Louisiana.
This incentive provides a tax exemption to Louisiana manufacturers who are able to demonstrate that the tax exemption, in addition to the manufacturerÕs current and projected operating business plan, will help the company to continue to maintain current employment and continue significant investment in the state of Louisiana.
Research and Development Tax Credit:
This provision of this tax credit is meant to work to encourage existing businesses to either establish or continue research and development activities within the state.
This incentive works to attract, retain, and encourage the expansion of manufacturing, corporate headquarters, warehousing, and distribution establishments located in the state of Louisiana planning an expansion that would not otherwise be possible due to a higher tax burden.
Technology Commercialization Credit and Jobs Program:
This program provides credits qualifying individuals or companies that invest in the commercialization of Louisiana technology and create new jobs. This credit is granted on any income or corporation franchise tax liability, and a refundable tax credit can be earned based on new jobs created.
The Chennault International Airport Authority (CIAA), the City of Lake Charles, Calcasieu Parish, and the State of Louisiana all offer a broad range of pro-business incentives to businesses looking to relocate or expand your operations. With this combination of economic and financial incentives, transportation options, and development opportunities, the CIAA offers an enticing wealth of business services.
Chennault's business climate, adjacent Interstate highway system, adjacent rail service, and deep-water port will provide your business with strategic business advantages. The broad range of incentives, including tax abatements, rent abatements, enterprise zone, and foreign trade zone are only a few of the superior and valuable benefits.
Come for a visit and take a serious look at the Chennault International Airport and its economic and industrial development programs and incentives.