The Louisiana Department of Revenue has posted Revenue Information Bulletin (RIB) 13-016 regarding the Louisiana New Markets Jobs Act.
Act 265 of the 2013 Regular Session created the Louisiana New Markets Jobs Act (“the Act”). Any investor that makes a qualified equity investment into a qualified community development entity which in turn makes a qualified low income investment in a qualified low income business in Louisiana will earn a tax credit against premium tax. The credit amount is equal to the applicable percentage for such credit allowance date multiplied by the purchase price paid to the issuer of such qualified equity investment.
Qualified community development entities must apply to the department for certification of the equity investments it issues. The application is available on the department’s website at www.revenue.louisiana.gov/taxforms. Applicants can begin submitting applications to the department beginning August 1, 2013. The application must be submitted at NewMarketTax.CreditApplication@la.gov. Additionally, the applicant must mail the $500,000 refundable deposit to the department at P.O. Box 44098, Baton Rouge, LA 70804.