Louisiana has long been a top destination for film and TV production, thanks in large part to its robust Motion Picture Production Program (MPPP), which offers up to $180 million in tax credits annually. These incentives have been a driving force in attracting major productions to the state, making Louisiana a vital player in the entertainment industry. But now, the future of the MPPP—and the state’s broader role in film and television—is in jeopardy.
Governor Jeff Landry is pushing for a third special legislative session in November to overhaul Louisiana’s tax system. His proposed plan includes cuts to the MPPP, among other state programs, with the ultimate goal of restructuring or potentially ending the program by June. This has sparked concern across the film industry, especially as Louisiana’s tax credits have historically been key to bringing big-budget productions to cities like Shreveport and New Orleans.
According to a report from the Louisiana Department of Revenue, the state’s return on investment for the film industry was $1.60 for every dollar spent in 2023. However, a separate study by Louisiana Economic Development showed that the additional tax revenue generated by the program was just 39 cents per dollar. While the program clearly boosts local economies and creates jobs, lawmakers are questioning whether the overall economic benefit justifies the state’s financial commitment.
“These incentives are crucial for attracting production companies to Louisiana. Without them, studios don’t have the certainty they need to bring their projects here,” said Wade Marshall, Film Commissioner for Shreveport-Bossier. He emphasized the importance of the program, which has played a major role in positioning Louisiana as a film production hub.
In 2022, workers in Louisiana earned $2.60 for every dollar spent through the MPPP, making it a clear win for job creation and local economies. However, the state itself only saw a return of 7 cents per dollar in tax revenue, creating a disconnect between the economic impact for residents and the financial return for the state’s coffers.
The Louisiana Department of Revenue and Louisiana Economic Development are currently assessing the broader tax landscape and are expected to present recommendations for a more balanced approach. “We’re looking at ways to treat all job-creating industries equally, and that includes the film industry,” said Richard Nelson, Secretary of the Department of Revenue.
Gov. Landry’s proposed cuts would likely lower Louisiana’s income and corporate tax rates, freeing up resources for balancing the state’s budget. However, such moves could severely impact the state’s ability to attract productions. As a result, local officials, including Marshall, are looking into creating new, local-level tax incentives in places like Shreveport and Bossier City to offset the potential loss of state credits.
“We’ve been here before—when the state capped the program’s incentives in 2015, Louisiana’s share of national employment in the film industry dropped by 42%, and television productions fell by 47%. We don’t want to see that happen again,” said Marshall, who remains committed to fighting for the future of Louisiana’s film industry.
As Louisiana navigates its next steps, the stakes are high. The MPPP has been a cornerstone of the state’s entertainment industry growth, but whether it can survive the upcoming legislative session remains to be seen.
