SLS 15RS-507 ORIGINAL
2015 Regular Session
SENATE BILL NO. 232
BY SENATOR DONAHUE
TAX/TAXATION. Establishes a baseline limit on all claims against income tax for motion
picture investor tax credits filed during a fiscal year on a first-come, first-served basis, gives
claims above the amount priority in the next fiscal year and provides a termination date for
the program. (gov sig)
1 AN ACT
2 To amend and reenact the introductory paragraph of R.S. 47:6007(C)(1) and R.S.
3 47:6007(C)(1)(d) and to enact R.S. 47:6007(C)(1)(e), relative to motion picture
4 investor tax credits; to provide a baseline amount of tax credits which may be
5 claimed each fiscal year; and to provide for related matters.
6 Be it enacted by the Legislature of Louisiana:
7 Section 1. The introductory paragraph of R.S. 47:6007(C)(1) and R.S.
8 47:6007(C)(1)(d) are hereby amended and reenacted and R.S. 47:6007(C)(1)(e) is hereby
9 enacted to read as follows:
10 ยง6007. Motion picture investor tax credit
11 * * *
12 C. Investor tax credit; specific productions and projects.
13 (1) There is hereby authorized a tax credit against state income tax for
14 Louisiana taxpayers for investment in state-certified productions approved and
15 initially certified prior to July 1, 2021. The tax credit shall be earned by investors
16 at the time expenditures are made by a motion picture production company in a state-
17 certified production. However, credits cannot be applied against a tax or transferred
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 232
SLS 15RS-507 ORIGINAL
1 until the expenditures are certified by the office and the secretary. For state-certified
2 productions, expenditures shall be certified no more than twice during the duration
3 of a state-certified production unless the motion picture production company agrees
4 to reimburse the office for the costs of any additional certifications. The tax credit
5 shall be calculated as a percentage of the total base investment dollars certified per
6 project. No tax credits for productions shall be certified on and after July 1,
7 2021.
8 * * *
9 (c) For state-certified productions approved by the office and the secretary
10 on or after July 1, 2009, until July 1, 2021:
11 * * *
12 (d) For each fiscal year beginning Fiscal Year 2015-2016, no more than
13 the baseline average of one hundred ninety-four million dollars of claims filed
14 for the credit during the five fiscal years from Fiscal Year 2008-2009 to Fiscal
15 Year 2013-2014 shall be allowed against state income tax for all claims for the
16 credit filed during a fiscal year. Claims for credit shall be allowed on a first-
17 come, first-served basis. Any taxpayer whose claim for such tax credits is
18 disallowed may use the tax credits against state income tax due in a return filed
19 in the next fiscal year, and his claim shall have priority over other claims filed
20 after the date and time of his original claim.
21 (e) Motion picture investor tax credits associated with a state-certified
22 production shall never exceed the total base investment in that production.
23 * * *
24 Section 2. This Act shall become effective upon signature by the governor or, if not
25 signed by the governor, upon expiration of the time for bills to become law without signature
26 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If
27 vetoed by the governor and subsequently approved by the legislature, this Act shall become
28 effective on the day following such approval.
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions. SB NO. 232
SLS 15RS-507 ORIGINAL
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Riley Boudreaux.
DIGEST
SB 232 Original 2015 Regular Session Donahue
Present law authorizes transferable motion picture investor tax credits of 30% of the base
investment made by investors (plus 5% of the payroll of Louisiana residents) any in state-
certified productions approved by the office of entertainment industry development in, and
the secretary of, the Department of Economic Development.
Proposed law allows no more than the "baseline average" of $194 million of claims filed for
the credit during the five fiscal years from Fiscal Year 2009-2010 to Fiscal Year 2014-2015
against state income tax for all claims for the credit filed during a fiscal year. Claims for
credit shall be allowed on a first-come, first-served basis. Any taxpayer whose claim for such
tax credits is disallowed may use the tax credits against state income tax due in a return filed
in the next fiscal year, and his claim shall have priority over other claims filed after the date
and time of his original claim.
Proposed law terminates the credit on July 1, 2020.
Effective upon signature of the governor or lapse of time for gubernatorial action.
(Amends R.S. 47:6007(C)(1)(intro para) and R.S. 47:6007(C)(1)(d); adds R.S.
47:6007(C)(1)(e))
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.