The Industrial Tax Exemption Program (ITEP) is a key tax incentive for manufacturers looking to expand or build facilities in Louisiana. The property tax exemption is authorized in the Constitution and is administered by the Louisiana Department of Economic Development (LED). Historically, exemption contracts were approved at the state level and manufacturers enjoyed ten years
Louisiana Department of Economic Development
Industrial Development Revenue Bonds 101
Federal tax law generally provides that tax-exempt bonds can only be issued to finance property for governmental or public use. If the property to be financed with bonds would be privately used, i.e., in a trade or business, the interest generated from the bonds will be included as income for federal income tax purposes. However,…