Louisiana Film Industry Seeks Revival Through New Tax Credits

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Film crew revitalizing Louisiana's film production scenery.

News Summary

The Louisiana film industry is set for a potential revival with new tax credit legislation aimed at revitalizing film production. After a significant decline in projects, officials and experts hope that increased incentives will restore Baton Rouge and New Orleans as sought-after filming locales. Recent productions, including the sequel to ‘Five Nights at Freddy’s,’ signal a positive shift as the state works to regain its competitive edge. The legislation seeks to streamline the approval process and remove previous limits, focusing on economic impact to attract more filmmakers and create local jobs.

New Orleans, Louisiana – The Louisiana film industry is poised for a potential revival with the introduction of new tax credit legislation aimed at revitalizing film production in the state. After experiencing a significant decline in film projects over recent years, local officials and industry experts are optimistic that changes to tax incentives could restore Baton Rouge and New Orleans as prime filming destinations.

In recent years, Louisiana has seen a drastic downturn in film productions, dropping from a record high of over 80 major projects in 2008 to a mere 14-16 productions per month in 2022. By December 2023, ongoing projects in the state had dwindled, signaling concern among local film crews and workers. This decline is attributed to competitive incentives offered by other countries, including Canada, Ireland, and Bulgaria, which have attracted studios away from U.S. filming locations. The decline is reflective of a broader trend in U.S. film production, which was reported to have decreased by 26% compared to 2021.

Over a three-year span, Louisiana’s film production rates dropped by 65%, leading to an industry that feels the sting of lost opportunities as filmmakers increasingly opt for locations with enticing tax breaks. States like Georgia and Texas have bolstered their film tax credit budgets—a move credited with keeping them competitive; Georgia has allocated $1.3 billion in credits, while Louisiana has struggled to keep pace.

Legislation recently introduced by Senator Adam Bass aims to give the Louisiana Economic Development authority greater control over the state’s $125 million annual budget for tax credits. Key features of the new law include the establishment of a flat 40% tax credit for productions, simplifying the approval process, and eliminating previous caps on credits—such as the $20 million limit for movies and $25 million for series. This simplified landscape is expected to attract more filmmakers back to Louisiana.

The criteria for awarding tax credits under the revised framework will focus on the estimated economic impact of projects and whether they align with the state’s interests, fostering a more sustainable environment for film production. The proposed changes have garnered support within the local film industry, suggesting a collective desire to see activity increase.

Recent productions like “Music Box,” a sequel to “Five Nights at Freddy’s” with a budget of $51 million, are shooting in Louisiana and could signal a turnaround for the state. The film is expected to continue shooting through January 2024, while other projects in post-production include “Is God Is” and “Charlie Harper,” both filmed in New Orleans.

Scheduled tax measure changes are set to take effect on July 1, further removing restrictions that have hindered production flexibility. The goal of the legislation is to stimulate job creation for local talent and ensure a sustainable future for the state’s film industry. Additionally, more than 90 film commissioners across the country have backed the establishment of a national film commission to support U.S. filming locations against international competition.

While the Louisiana film industry has faced several challenges, including the impacts of the pandemic and recent industry strikes, the film community is cautiously optimistic about the future. The preservation of the film tax credit program through 2031, now with increased flexibility to adapt to industry needs, represents a renewed effort to stimulate growth and employment in Louisiana’s creative sector.

With this legislative push, Louisiana is not only looking to reclaim its status as a favored filming destination but is also adapting to the changing landscape of global filmmaking. As production resumes, stakeholders across the state are hopeful for a robust comeback to a once-thriving industry.