Updates by Jurisdiction
For more information on incentives in each state, visit the Production Incentives map on our website and click on the state of interest.
Governor Gavin Newsom has appointed veteran entertainment executive and ambassador Colleen Bell as the new director of the California Film Commission. (See Variety)
SB 33 has been sent to the governor for signature. The bill increases the annual cap for the Motion Picture, Digital Media, and Film Production Income Tax Credit from $35M to $50M.
SB 1595 has been sent to the governor for signature. The bill extends the sunset date for the state’s Film Production Services Tax Credit Act of 2008 until January 1, 2027.
Illinois-based filmmaker Peter Hawley has been named the new director of the Illinois Film Office. (See Screen Magazine)
HB 293 has been signed by the governor. The bill establishes the Montana Economic Industry Advancement (MEDIA) Act, which allows qualified productions to be eligible for a 20-35% transferable tax credit. The incentive has an annual cap of $10M and becomes effective on July 1, 2019.
Governor Michelle Lujan Grisham has appointed Santa Fe resident Todd Christensen to head the New Mexico Film Office. (See Albuquerque Journal)
SB 2 has been signed by the governor. The bill amends various aspects of the film production tax credit act. These amendments include an increase to the annual cap from $50M to $110M, allows additional amounts for TV pilots and series with expenditures made in certain areas of the state, and authorizes payments on previously approved film tax credits. The bill becomes effective July 1, 2019.
SB 200 has been signed by the governor. The bill increases the annual cap for the Oklahoma Film Enhancement Rebate Program from $4M to $8M; allows funds from the Oklahoma Quick Action Closing Fund to be used to make rebate payments to a “high-impact” production; and extends the sunset date from July 1, 2024 to July 1, 2027. The bill becomes effective on July 1, 2019
For more information on incentives around the world, visit our website and click on the country of interest.
India is establishing several location shooting incentives that could help put the nation on the map for international film productions. The country is seeking to create a rebate that could give feature films shot in India a 30% discount. It would be matched by another scheme helping international co-productions. (See Variety)
Japan is launching a pilot program for a production incentive that would offer a rebate of up to 20% of qualifying spend for foreign film and TV productions shooting in the country. The rebate will be aimed at feature films and TV with foreign capital exceeding 50% of total production costs. (See Screen Daily)
Jordan is raising its cash rebate for film and TV productions from 20% to 25%. The country will also increase its cap to $2M and is looking to reduce the current minimum spend of $1M. (See Variety)
EP Locations Spotlight
Entertainment Partners is a primary contributor to Variety‘s “Artisans” Feature, spotlighting various filming locations around the world. Here are the locations we have covered in recent weeks.
New Mexico, which has long been a destination for Hollywood film and TV production, recently more than doubled its annual cap on its 25% to 30% refundable tax credit – from $50 million to $110 million. The state is now poised to lure even more business.
Specifically, New Mexico offers a 30% refundable tax credit on qualifying TV projects, and a 25% refundable tax credit on film projects. A similar 25% refundable tax credit applies to standalone post-production projects. As defined by the state, the production tax credit is meant for production companies that have direct production and direct post-production expenditures that are subject to taxation by the State of New Mexico.
The Mediterranean island nation of Cyprus has stepped up its efforts to lure producers through a recently enacted film incentive program. Additionally, the country offers the advantage of the widespread use of English alongside Greek (the official language), and as a member of the E.U. uses the Euro as its national currency.
Introduced last fall, the program provides a choice between a cash rebate or a tax credit of up to 35% on qualifying local spending for feature films, TV series, animation, documentaries and other projects, provided they meet certain financial criteria and pass a cultural test.
With its close proximity to the nation’s capital and a wide diversity of filming locations, Maryland offers producers many enticements. The physical attractions range from the historic and picturesque Chesapeake Bay, scenic Appalachian Mountain landscapes, the U.S. Naval Academy with its marching cadets, the gritty yet gentrifying cityscapes of Baltimore, and the leafy suburbs around Washington, D.C. Even more important are the financial lures: a 25%-27% refundable tax credit.
Specifically, the incentive consists of a 25% refundable tax credit for film and an even more generous refundable tax credit of 27% for television. TV series, of course, when successful, often remain in place for years and continue to pump money into the local economy. Such has been the case with Netflix’s “House of Cards” and HBO’s “Veep,” both of which shot in the state.
DISCLAIMER: These materials have been prepared by Entertainment Partners for informational purposes only and should not be construed as tax advice or relied on for specific projects. Though every effort has been made to remain current, laws and incentives change and therefore this information may have been revised. Please contact your legal or tax advisors to confirm any laws or the effect of incentives on your project. For updates and more information, please visit our website at productionincentives.com.
Providing links to other sites shall not be construed as an endorsement by Entertainment Partners of the linked websites or the opinions expressed on such websites.
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