Music Job Creation Program

Music Job Creation Program Tax Credit *La. 47:6023, better known as the Louisiana Sound Recording Production Program, also provides a QMC payroll tax credit on annual W2 wages for approved music industry companies, and this incentive is commonly referred to here as the Music Job Creation Program. All incentive program rules are in the Louisiana Administrative Code maintained by the Office of the State Register. Apply Now 10% Credit for each new job whose QMC payroll is equal to or greater than $35,000 per year, up to $66,000 per year 15% Credit for each new job whose QMC payroll is equal to or greater than $66,000 per year, but no greater than $200,000 per year 10% Credit for each new job whose QMC payroll is equal to or greater than $35,000 per year, up to $66,000 per year 15% Credit for each new job whose QMC payroll is equal to or greater than $66,000 per year, but no greater than $200,000 per year Eligibility Requirements The Secretary of the Department of Economic Development may consider program applicants meeting the following criteria: Eligibility Criteria Business must be engaged directly or indirectly in the production, distribution and promotion of music.  (For example, the business may be a music publisher, sound recording studio, artist management or other music industry related business) Entity must be authorized to do business in the state of Louisiana and permanently locate or expand existing operations in Louisiana Job Requirements Create a minimum of three new direct jobs that meet or exceed a salary of $35,000 per year per person These jobs must be full time, (full-time employees — working an average of 30 hours or greater per week) Filled by residents of the state at the approved QMC’s location in Louisiana Can NOT have existed previously on the QMC’s payroll in Louisiana, nor previously on the payroll of the QMC’s parent affiliate in Louisiana, or previously on the payroll of any business whose physical location and employees are substantially the same as those of the QMC in Louisiana The Process 1 Submit application and fees (fees will be calculated upon submission of the application.) An application isn’t considered received until the applicant submits a deposit. 2 OEID / LED reviews application. 3 If approved, OEID/LED enters into a contract with applicant. 4 When W2s are issued, applicant requests final certification of credits from OEID. 5 CPA performs an audit and provides an expenditure verification report to OEID. 6 OEID reviews and if approved, issues a final certification letter. 1 Submit application and fees (fees will be calculated upon submission of the application.) An application isn’t considered received until the applicant submits a deposit. 2 OEID / LED reviews application. 3 If approved, OEID/LED enters into a contract with applicant. 4 When W2s are issued, applicant requests final certification of credits from OEID. 5 CPA performs an audit and provides an expenditure verification report to OEID. 6 OEID reviews and if approved, issues a final certification letter. Next Steps Application Review and Contract 1. Applicant completes and submits the online application with supporting documents and fees to the Office of Entertainment Industry Development (OEID). 2. After application review and consideration of all discretionary factors, OEID and the Secretary of LED may execute a contract with an applicant for a period of up to five years, providing the terms and conditions for its participation.  The contract shall set forth an estimate of jobs and payroll per calendar year which will be tentatively allocated to the QMC for annual cap computation purposes.  A five-year renewal contract may be authorized if the applicant has complied with all of the terms of the contract.