LOUISIANA GULF OPPORTUNITY ZONE INCENTIVES

Louisiana's business incentive package is one of the most aggressive in U.S. history. It includes federal incentives from the Gulf Opportunity Zone Act of 2005 (GO Zone) and additional incentives offered by the state of Louisiana.

For a map of the Gulf Opportunity Zone, click here.

50 Percent Bonus Depreciation

• Qualified property in the Louisiana GO Zone is eligible for an additional one-time, up-front 50 percent bonus depreciation.
• The green areas on the map (reverse side) require facilities to be placed in service on or before Dec. 31, 2008(extension proposal pending.
• The yellow areas on the map (reverse side) require facilities to be placed in service on or before Dec. 31, 2010.

Tax Exempt Bonds

• In lieu of using bonus depreciation on investments, most developments in the Louisiana GO Zone qualify for tax exempt bond finance (subject to availability of bond capacity.
• Interest rates on GO Zone bonds can be expected to save a borrower 1.5 -2.5 percent a year on interest costs.
• Louisiana was awarded $7.9 billion of capacity, available through Dec. 31, 2010 (deadline for bonds to be issued).