Dear Colleagues,
This week was a big one in the world of Film Production Tax Incentive Legislation. Here are some important updates:
MA: The Mass Senate passed a film tax credit program which allows for a tax credit of 25% of all qualified expenditures, no caps and a 2022 sunset. The tax credits are immediately transferable OR refundable at 90% of face value, after the production company files its Massachusetts tax return. We believe the bill was approved by the House, and is currently awaiting the Governors signature.
CT: Public Act 07-236 (substitute HB 6500) was signed by the Governor and is effective. Key points of the bill are: inclusion of premium tax in the types of taxes that can be offset by the credit; $15 mill talent cap, effective January 2008; an infrastructure tax credit; allowance of multiple transfers (3 max); a digital media tax credit and no transferee liability. Public Act 07-248 (substitute HB 7400) supplements 236. The complete text of 236 can be found by clicking here.
AZ: added "no transferee liability", when the expenses are audited by an AZ department approved CPA. The complete text can be found by clicking here.
PA: After a mandatory state furlough due to a budget impasse, the house approved an $80 million Film Tax Credit program late Monday which we believe is refundable and tradeable, but will provide further details. The measure must be signed by the Governor.
IOWA: recently passed a 25% transferable film production tax credit. Rules to be determined. Complete text can be found by clicking here.
NJ: A measure expanding the program to include Digital Media, and increasing the program size from $10 million to $30 million is awaiting the Governor's signature. Please express your support of this bill to Governor Corzine in a letter, and email/fax to our office (908-630-0653) and we'll forward on your behalf:
We will continue to keep you apprised of material legislative developments.
Contact us if you have any questions or concerns. |
