Since 2005, Louisiana has offered game developers and other software producers one of the most attractive deals in the US: the Digital Media Tax Credit, which affords applicable tech companies a 25 percent tax credit and 35 percent payroll tax credit. That deal is getting even sweeter in the coming months, as Governor Bobby Jindal has signed a bill which allows developers to take that credit in cold, hard cash, provided it's not all soaked up by their tax liability.
Not many developers are taking advantage of the boot-shape state's hospitality, though EA's facility on the LSU campus is sure to benefit from the expansion, as will Gameloft's soon-to-be-opened New Orleans studio.
Reader Comments (35)
Posted: Jul 12th 2011 2:01AM Tradio said
yea love how these republicans keep giving out tax breaks, criticize Obama's stimulus program and then still take fed money to balance thier budget, Jindal prime example
Posted: Jul 12th 2011 2:21AM Space Cobra said
@Tradio
Thank you for that dose of political common sense!
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Thank you for that dose of political common sense!
Posted: Jul 12th 2011 3:47AM (Unverified) said
@Tradio yea love how these random people feel the need to comment on politics when this should be about the expansion of game development.
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Posted: Jul 12th 2011 3:55AM Special Agent Steve said
@Space Cobra
Pretty sure he read some Thomas Paine before he posted that.
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Pretty sure he read some Thomas Paine before he posted that.
Posted: Jul 12th 2011 8:40AM Fire Walk With Me said
@Tradio How much do you want to be that cold, hard cash will go to people who simply create a game company overnight and then do nothing as a result. Louisianna I love you like my brother but you are corrupt as the day is long.
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Posted: Jul 12th 2011 9:17AM VideoGameFan said
@Tradio
That's a pretty ignorant statement. The stimulus has added another trillion+ in debt which all Americans will have to pay for. The only state govts that actually turned down money were for federal state coops that would ask state govts to pay more from their citizens to complete these "shovel ready projects" (which was nothing but a BS slush fund anyway).
If someone asked you if you want some of the money now that you are going to be paying for later, you would be dumb not to take it. In your twisted sense of reality, you would remove any tax credits which would lead to no new jobs, stifled growth, and in the end, lowered tax revenues and higher debt. Take an econ class, instead of just towing your party's line.
All hail our fearless leader!
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That's a pretty ignorant statement. The stimulus has added another trillion+ in debt which all Americans will have to pay for. The only state govts that actually turned down money were for federal state coops that would ask state govts to pay more from their citizens to complete these "shovel ready projects" (which was nothing but a BS slush fund anyway).
If someone asked you if you want some of the money now that you are going to be paying for later, you would be dumb not to take it. In your twisted sense of reality, you would remove any tax credits which would lead to no new jobs, stifled growth, and in the end, lowered tax revenues and higher debt. Take an econ class, instead of just towing your party's line.
All hail our fearless leader!
Posted: Jul 12th 2011 12:10PM Anticrawl said
@Tradio
What are you talking about? This is the sort of thing that will bring Louisiana out of its 20 years of depression. Louisiana historically (at the state level not federal level) is all about the democratic political spectrum. Payroll tax cuts means employers are willing to hire more people and even pay them more.
In the state of Louisiana it has one of the lowest average wages, the highest poverty rate.. yet the unemployment rate is very low. It is a state full of hard workers being held back by bureaucratic red tape. I-10 was under construction for 15 years by state employed workers at 30+ dollars per hour and as soon as the new governor took over they shut down the operation which was long past it's original target completion and let contractors bid on it. Now the project will be done by the end of the year. 2 years and it's done.
The I-10 project was also funded by the MOVIE INDUSTRY and the massive tax cuts we gave them to film here (which is why more films per capita are filmed here in the past year or so than any other state with the exception of California). We shut down the interstate so they can film and use the opportunity of road closer (that the state is being paid for) to make massive swift renovations to one of the most traveled roads in the USA.
EA's deal with LSU will likely and likely is bringing in a great deal of revenue into the education system which has suffered MASSIVE budget cuts over the last 10 years. Why you ask? Because it is illegal in Louisiana to cut budgets of state officials/agencies to make budget, leaving education as the only target. This of course being a system in place by state bureaucrats for decades. The same reason Disney World wasn't put here. Finally the state is taking a new direction, maybe one day Louisiana won't be regarded as the corrupt shithole it has become.
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What are you talking about? This is the sort of thing that will bring Louisiana out of its 20 years of depression. Louisiana historically (at the state level not federal level) is all about the democratic political spectrum. Payroll tax cuts means employers are willing to hire more people and even pay them more.
In the state of Louisiana it has one of the lowest average wages, the highest poverty rate.. yet the unemployment rate is very low. It is a state full of hard workers being held back by bureaucratic red tape. I-10 was under construction for 15 years by state employed workers at 30+ dollars per hour and as soon as the new governor took over they shut down the operation which was long past it's original target completion and let contractors bid on it. Now the project will be done by the end of the year. 2 years and it's done.
The I-10 project was also funded by the MOVIE INDUSTRY and the massive tax cuts we gave them to film here (which is why more films per capita are filmed here in the past year or so than any other state with the exception of California). We shut down the interstate so they can film and use the opportunity of road closer (that the state is being paid for) to make massive swift renovations to one of the most traveled roads in the USA.
EA's deal with LSU will likely and likely is bringing in a great deal of revenue into the education system which has suffered MASSIVE budget cuts over the last 10 years. Why you ask? Because it is illegal in Louisiana to cut budgets of state officials/agencies to make budget, leaving education as the only target. This of course being a system in place by state bureaucrats for decades. The same reason Disney World wasn't put here. Finally the state is taking a new direction, maybe one day Louisiana won't be regarded as the corrupt shithole it has become.
Posted: Jul 12th 2011 12:12PM Anticrawl said
@Anticrawl
Also I apologize for going off on a rant. A state like Louisiana is a prime place to expand game development. It is great to see job opportunities expanding to areas and people who didn't have access to them. Not everything needs to be on the west coast.
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Also I apologize for going off on a rant. A state like Louisiana is a prime place to expand game development. It is great to see job opportunities expanding to areas and people who didn't have access to them. Not everything needs to be on the west coast.
Posted: Jul 12th 2011 4:07AM Stevetrop Man of Mystery said
From further political game related news. In order to entice developers to come to Louisiana even more, the Tax deal now includes a fresh pot of Creole Gumbo with ever game made.
You can't pass up that good ol creole gumbo.
You can't pass up that good ol creole gumbo.
Posted: Jul 12th 2011 11:11AM radioactivez0r said
@Stevetrop Man of Mystery I love me some gumbo, but that's gotta be the best pot ever if they only get one per game :\
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Posted: Jul 13th 2011 12:11PM Anticrawl said
@Stevetrop Man of Mystery
...Are you from southern Louisiana? Cause people often confuse creole, french, cajun and just Louisiana style. I mean there is no stern definition but my grandmother was creole, a mix of spanish/french/white/black ancestry and the food they make..... well only another creole would ever like. Creole is generally someone of Spanish-American ancestry and is usually mixed in with the gulf coastal black culture and more recently influenced by french culture and finally English/American culture in modern day. I've heard folks describe creole gumbo as "fish-head stew" as an example of one of the many varieties, all of which smell like road-kill to the untrained nose. I have vague memories of her kitchen and jars with liquid containing animal parts - it was like some sort of mad scientist laboratory.
Now my dad cooks gumbo like his dad, who is from a Cajun family in Hackberry and that stuff is delicious, a brown rue with sausage, potatoes, chicken, and whatever else we want served over rice. And of course lots and lots of filé and a few bay leaves. We usually serve it with potato salad too because of their time in Germany. I hate filé though, stuff makes me gag.
In any case if you really meant Creole gumbo... wow man you have adventurous tastes!
Reply
...Are you from southern Louisiana? Cause people often confuse creole, french, cajun and just Louisiana style. I mean there is no stern definition but my grandmother was creole, a mix of spanish/french/white/black ancestry and the food they make..... well only another creole would ever like. Creole is generally someone of Spanish-American ancestry and is usually mixed in with the gulf coastal black culture and more recently influenced by french culture and finally English/American culture in modern day. I've heard folks describe creole gumbo as "fish-head stew" as an example of one of the many varieties, all of which smell like road-kill to the untrained nose. I have vague memories of her kitchen and jars with liquid containing animal parts - it was like some sort of mad scientist laboratory.
Now my dad cooks gumbo like his dad, who is from a Cajun family in Hackberry and that stuff is delicious, a brown rue with sausage, potatoes, chicken, and whatever else we want served over rice. And of course lots and lots of filé and a few bay leaves. We usually serve it with potato salad too because of their time in Germany. I hate filé though, stuff makes me gag.
In any case if you really meant Creole gumbo... wow man you have adventurous tastes!
Posted: Jul 14th 2011 3:01PM Mr Sax Appeal said
@Anticrawl I'm from south-eastern Louisiana and creole gumbo is most definitely not "fish-head stew," it's usually a lighter roux and not as spicy as cajun, but still very much resembles it, with seafood, chicken, and/or chicken. I think okra is more common in creole than cajun too. But really, they're both equally delicious, just a little different.
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Posted: Jul 14th 2011 3:04PM Mr Sax Appeal said
@Mr Sax Appeal I meant sausage and/or chicken.
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Posted: Jul 12th 2011 5:03AM Raffi256 said
No one takes these credits because they're more designed for the film industry than games. They don't have a clue how the game industry works, they think it's like a movie studio.
Posted: Jul 12th 2011 9:20AM VideoGameFan said
@Raffi256
That doesn't make any sense.
Why wouldn't these game studios set up shop in Louisiana?
Reply
That doesn't make any sense.
Why wouldn't these game studios set up shop in Louisiana?
Posted: Jul 12th 2011 6:18AM ThePenIsMightier said
.....Natchitoches is on the map but not Shreveport?
Posted: Jul 12th 2011 7:21AM CNOLA85 said
Yay my state is on Joystiq!
Posted: Jul 12th 2011 8:50AM ddrussianinja said
Just nobody show them inFamous 2 or they might change their minds.
Posted: Jul 12th 2011 9:05AM dakun said
Is this actually a tax credit that singles out game devs?? or is it just a decision with game devs being one of the many affected businesses??
Because i'd be really surprised if this is just for gaming devs.. seeing how video games are always under attack by politicians.
Hope someone who knows about this can answer me back :-)
Because i'd be really surprised if this is just for gaming devs.. seeing how video games are always under attack by politicians.
Hope someone who knows about this can answer me back :-)
Posted: Jul 12th 2011 9:23AM Dao Jones said
Dear Joystiq,
I believe your "!" box is broken.
Love,
Dao Jones
I believe your "!" box is broken.
Love,
Dao Jones
Posted: Jul 12th 2011 9:28AM eat it said
is this one of those things where all they will need to do to get the tax break is to have one office with one person working in it while the actual team is based in santa monica?
kind of like that house in wyoming that has the addresses of 2000 companies?
kind of like that house in wyoming that has the addresses of 2000 companies?
Posted: Jul 12th 2011 10:10AM Hank Hill said
@lflb71 Come on joystiq, is it really that hard to find and remove these spam posts yourself?
Posted: Jul 12th 2011 12:41PM TexRob said
I'm sorry, people are going to flip out on me I'm sure, but Louisiana shouldn't even be inhabited. If we had discovered Louisiana today, we'd use it for something, but not a place to live and work. The only reason it is inhabited is because people moving West got tired/were unable to go further. I feel really bad for people who have dealt with disasters there, but it's below sea level people...it doesn't take a genius to figure out what that means.
So my point is, sure nobody wants to set up game studios there, the place at it's best was a marsh. Now, at it's worst, it's not the place to try and recruit game talent, it's holding on by the skin of it's teeth as it is.
So my point is, sure nobody wants to set up game studios there, the place at it's best was a marsh. Now, at it's worst, it's not the place to try and recruit game talent, it's holding on by the skin of it's teeth as it is.
Posted: Jul 12th 2011 1:34PM (Unverified) said
@TexRob
Your comment is vague at best, uninformed at worst
Reply
Your comment is vague at best, uninformed at worst
Posted: Jul 13th 2011 5:42PM Anticrawl said
@TexRob
or that Louisiana breeds more pro athletes per capita than any other state. One of the few ares in the US where natural selection still runs its course, partially due to environmental dangers, others due to poverty and poor medical facilities.
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or that Louisiana breeds more pro athletes per capita than any other state. One of the few ares in the US where natural selection still runs its course, partially due to environmental dangers, others due to poverty and poor medical facilities.
Posted: Jul 14th 2011 3:13PM Mr Sax Appeal said
@TexRob Wow, Idiot. Just because New Orleans is below sea level doesn't mean the whole state is. I live south-east of New Orleans, and even though there is a marsh on the other side of the levee in my backyard, my house is most definitely above sea level and have never flooded.
Reply
Posted: Jul 12th 2011 2:03PM giovedi said
Hoping developers won't just head to Baton Rouge or New Orleans.
Posted: Jul 12th 2011 2:28PM Trymv1 said
Just a comment for the people who havent realized due to Joystiq's awkward way of handling it...
EA's test center has been in Baton Rouge for about 3 years now. It's going to move into a new building directly on LSU campus (as per the link in the news). Theres no Devs, just Testers.
Just clearing it up since Joystiq always makes it sound like "EA will be making one there in a year!" when it's actually already existed.
EA's test center has been in Baton Rouge for about 3 years now. It's going to move into a new building directly on LSU campus (as per the link in the news). Theres no Devs, just Testers.
Just clearing it up since Joystiq always makes it sound like "EA will be making one there in a year!" when it's actually already existed.
Posted: Jul 12th 2011 7:25PM benheckendorn said
Math time! Let's say Louisiana has zero dollars. Then they attract a game studio (or movie) with a tax liability of $1,000,000 by offering them 25% off.
Louisiana now has +$750,000 they can spend on infrastructure and social services, and the game studio has +$250,000 more they can spend on benefits, new hiring, dividends and development.
Let's say that studio moved from California. California, instead of giving them a break and maybe only charging $900,000... now has zero.
Louisiana now has +$750,000 they can spend on infrastructure and social services, and the game studio has +$250,000 more they can spend on benefits, new hiring, dividends and development.
Let's say that studio moved from California. California, instead of giving them a break and maybe only charging $900,000... now has zero.







