Thank you for your interest in Louisiana’s Technology and Commercialization Tax Credit program. Below is a list of Frequently Asked Questions about the program.
Q: What is an eligibility application?
A: An application submitted prior to the end of the first tax year in which the technology will be commercialized. No fee is required.
Q: Who must the taxpayer be in association with to be eligible for the Technology Commercialization Credit & Jobs Program?
A: An accredited Louisiana university, college or technical school.
Q: What is commercialization?
A: The process begins after an intellectual property has been reduced to practice and is being developed into a marketable asset.
Q: Does it include the research done prior to commercialization?
A: Technology Commercialization as intended for this act is Louisiana technology created by a Louisiana company that is researched by a Louisiana university, college or technical school for commercialization; or technology created at a Louisiana university, college or technical school that is licensed by a Louisiana company to be commercialized by the company; or Louisiana technology researched by a governmental research center in Louisiana.
Q: What are commercialization costs?
A: Commercialization costs include machinery, equipment, licenses, patents, copyrights, payments to Louisiana universities, colleges or technical schools through a research agreement or license agreement, and/or payments to third-party research centers in Louisiana.
Q: If a research agreement only contains salaries and supplies, is it eligible? Can you qualify if only doing research through a university without any other commercialization costs?
A: YES. Salaries and supplies are eligible if they are included in a research agreement because the agreement is considered a commercialization cost.
Q: Does the taxpayer have to be domiciled or have an office in Louisiana?
A: The taxpayer must be located in Louisiana to receive the tax credit.
Q: What is the percentage rate for the refundable tax credits for Technology Commercialization Tax Credits?
A: 40% of the investment necessary to commercialize the intellectual property, not to exceed $250,000.