Louisiana Digital Interactive Media and Software Program
Louisiana Economic Development (LED)
25% of qualified payroll
25% credit on LA software payroll — no cap
Louisiana's DIMS program provides a 25% tax credit on in-state qualified payroll for digital media and software companies — with no cap and no minimum. Video game studios, mobile app developers, business software firms, and embedded systems companies all qualify. Companies can also receive an 18% credit on other qualified production expenditures. An optional 85% cash rebate is available in lieu of the credit, making this one of the few state incentive programs that can deliver immediate cash to growing software teams.
- Funding type
- Tax Credit
- Level
- State
- Amount
- 25% tax credit on qualified Louisiana in-state labor payroll. 18% tax credit on other qualified production expenditures. Optional 85% cash rebate (vs. credit). No annual cap or minimum qualifying expenditure.
- Realistic amount
- A software company with 5 Louisiana developers earning $80,000 each ($400,000 payroll) receives $100,000 in annual credi…
- Deadline
- Rolling — applications accepted year-round. Initial certification can begin 6 months before qualifying expenses start.
- Status
- active
- States
- LA
- Payment model
- lump sum
Who qualifies
- Louisiana-based company registered with Louisiana Secretary of State and physically located in Louisiana
- At least one full-time Louisiana employee required
- Business must produce qualifying digital products: video/mobile games, consumer or enterprise software, web/mobile applications, interactive devices, or embedded systems
- Products must be sold/licensed to third parties (static websites and internal-use software do not qualify)
- Work must be physically performed in Louisiana
- Company must obtain initial certification from LED before qualifying expenses begin
Hard requirements
- Must be incorporated
- Location restriction: Louisiana — physical operations and labor must be in-state
What it covers
Eligible expenses
- Qualified Louisiana in-state labor payroll for: project managers, programmers, engineers, game/industrial designers, QA staff, composers, artists, and management R&D/engineering roles
- Development hardware and software purchased through Louisiana vendors
- Allocated rent for Louisiana-based development spaces
- Development-related office supplies
- Licenses and permits directly related to development
Ineligible expenses
- Sales, customer service, administrative, marketing, and clerical staff wages
- Out-of-state labor or remote workers not physically in Louisiana
- Overhead not directly tied to qualifying development activities
- Internal-use software development costs
- Static website development costs
How to apply
-
1
Apply for initial certification via FastLane
Submit the initial certification application and fee via LED's FastLane online portal. LED reviews your product type and Louisiana employment to confirm eligibility. Expenses can qualify starting 6 months after this certification date.
-
2
Track qualified payroll and production expenses
Maintain detailed records of Louisiana-based employee payroll for qualifying roles (programmers, engineers, game designers, project managers, QA staff, artists, composers). Track qualifying production expenditures (development hardware/software from LA vendors, rented development space, development supplies).
-
3
Engage independent CPA for audit
At project completion (or annually), hire an independent Louisiana CPA to audit and verify all qualifying expenditures. The CPA audit is required before final certification.
-
4
Apply for final certification and elect credit or rebate
Submit the CPA audit report to LED for final certification. Choose between: (a) 25%/18% Louisiana income tax credit, or (b) 85% cash rebate (85% of the face value of the credit, paid as a check by the state).
Industry & certifications
NAICS codes: 511210, 541511, 541512, 541519, 611420
Elect the 85% cash rebate option if you need liquidity — it converts the credit to cash without waiting for a tax year. Internal-use software and static websites are specifically excluded, so SaaS companies must ensure their product is licensed externally.
Deadline & timing
No annual intake windows — companies apply for initial certification at any time via LED's FastLane system. Work qualifies from 6 months after the initial certification date. Final certification (after CPA audit) triggers credit or rebate.
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Last reviewed 2026. GrantCompass is an independent funding-discovery tool and is not affiliated with any government agency. Always confirm details on the official program page.