LAC 13:I.3501. Purpose and Application

A. The purpose of this Chapter is to implement the Retention and Modernization Act as established by R.S. 51:2399.1 et seq. B. The Chapter shall be administered to achieve the following purposes: 1. to induce businesses to remain in the state and not relocate outside the state; and 2. to modernize existing business operations in Louisiana. C. This Chapter shall apply to any employer: 1. seeking to become qualified to claim a credit; or 2. claiming a credit under this program. D. An employer may earn a refundable tax credit on any income or franchise tax liability at the rate of 5 percent for qualified expenditures incurred for modernization. E. Nothing herein shall be construed to constitute a guarantee or assumption by the state of any debt of any individual company, corporation, or association or to authorize the credit of the state to be given, pledged, or loaned to any individual, company, corporation, or association. F. No agency shall incur monetary or personnel costs paid with federal funds for compliance with the provisions of this Chapter, when such use of the funds is prohibited by federal law.