John Hadity of EPFS will moderate a keynote conversation with Academy award-winning producer Donna Gigliotti, who recently developed the hit film Hidden Figures.
9th Annual TV & Film Finance Forum East
12:00pm – 12:30pm, April 27
Dream Downtown Hotel, New York City.
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.
The California Film Commission will soon be accepting applications for Relocating TV series and Recurring TV projects. The upcoming application window will run from May 22 – 29. Applications are based upon their “jobs ratio” score. Credit Allocation Letters will be issued July 1.
SB 1046 was introduced, which would allow the film production tax credit to be claimed against sales and use taxes and limit the amount of such credit if the credit is sold, assigned, or otherwise transferred and claimed against such taxes.
DISTRICT OF COLUMBIA
DCB 218 was introduced, which would allow a film, television, and digital media production facility to be eligible for tax abatements and other incentives, provided that the proposed project will have a substantial impact in reducing the high unemployment rate.
SCR 170 was introduced, which would allow the Department of Business, Economic Development, and Tourism to create a plan to develop the West Oahu Creative Lab and to relocate the Hawaii Film Studio to West Oahu.
- HB 640 was introduced, which would change when motion picture production tax credits are earned, from at the time expenditures are certified, to the time expenditures are made by the motion picture production company.
- HB 631 was introduced, which would add a limitation on the aggregate amount of motion picture tax credits that may be certified each year. The bill further provides that beginning July 1, 2017 through December 31, 2018, the aggregate amount of motion picture tax credits that may be certified shall not exceed $180M.
- HB 508 was introduced, which would change the fee amount for the transfer of a motion picture production tax credit from $250 per transferee, to 2% of the tax credit transfer value.
- HB 530 was introduced, which would establish the Louisiana Headquartered Motion Picture Production Fund. The fund would be comprised of all monies appropriated, donated, or otherwise made available to provide funding for the Louisiana Headquartered Motion Picture Production Cooperative Endeavor Program.
- HB 671 was introduced, which would grant an additional 5% tax credit for expenditures incurred at a facility that was a state-certified motion picture infrastructure project that received motion picture tax credits.
- SB 78 was introduced, which would eliminate the state’s film tax credit as of July 1, 2017.
- SB 172 was introduced, which would terminate certain tax credits as of January 1, 2018. Among the credits listed is the Motion Picture Investor Tax Credit.
- SB 235 was introduced, which would revise the motion picture production tax credit in various ways, including:
- allow an additional 5% credit for projects filmed outside the New Orleans Metro Zone;
- allow an additional 5% credit for projects that meet a certain visual effects critera;
- specify that beginning July 1, 2017, no more than $180M may be claimed per year;
- reduce the per project cap from $30M to $20M, with scripted episodic television allowed $25M per season;
- provide that projects with an application date on or after July 1, 2017, may transfer credits to the DOR for 92% of face value;
- create a new payroll tax credit for qualified entertainment companies. The tax credit is 10% for Tier 1 new jobs with payroll between $45K-$66K per year, and 20% for Tier 2 new jobs with payroll between $66K-$200K per year.
- SB 177 was introduced, which would change withholding rates on qualified production payments from the highest individual rate of 6% to a rate specified on an employee’s withholding allowance certificate.
SB 501 was introduced, which would amend the state’s film incentive by allowing a visual media production company a reimbursement of 25% of all visual media production expenses, including wages, if the company has qualified expenses of $75K and meets other qualifying criteria.
HB 602 has failed. The bill would have reenacted the “Big Sky on the Big Screen Act,” providing production companies a tax credit for resident wages and qualified expenditures within the state.
AB 492 was introduced, which would allow the Office of Economic Development to approve up to $10M per fiscal year for the production of films and certain other productions.
SB 390 was vetoed by the Governor. The bill would have reduced the lot size requirement for a qualified production facility from 50 acres to 45 acres.
- New York State’s newly approved budget includes a three-year extension of the Film Production Tax Credit Program. The new extension goes to 2022, with $420M per year allocated. (See Variety)
- AB 7142 was introduced, which would add Rockland to the list of counties that qualify for an additional 10% on labor expenses.
- AB 7182 was introduced, which would amend the Empire State Film Production Tax Credit to allow a “qualified converted industrial space film production company” to qualify. A “qualified converted industrial space film production company” would mean a company which:
- owns or leases a qualified converted industrial space film production facility;
- employs throughout the year at least 800 full time staff in NY, of which at least 500 are located at the facility; and
- during the course of its ownership or lease of the facility, has invested a minimum of $35M in capital expenditures to repurpose the facility as a film production facility for the purpose of conducting film production activity
- AB 7270 was introduced, which would allow writers’ and directors’ fees and salaries to be an eligible production cost, provided that such writer or director is a minority group member or a woman. For television production, writers’ and directors’ fees and salaries shall not exceed $50K for a credited writer or director and $75K for a non-credited writer, with an overall total of $150K per season for an eligible writer or director. There is an annual cap of $5M.
HB 850 was introduced, which would create a special account within the Film and Entertainment Grant Fund titled the “Small Production Account.” Grants from the Small Production Account would be available to permanent residents of the state for feature length films with qualifying expenses of at least $100K but not more than $500K.
HB 2344 has been sent to the governor for signature. The bill lowers the annual funding for the Oklahoma Film Enhancement Rebate Program Revolving Fund from $5M to $4M.
The Texas House eliminated the film and video game incentives program funding on the floor earlier this month, redirecting the funds to other programs. The state’s budget goes to conference committee to reconcile the House and Senate proposals. (See Austin Business Journal)
HB 2816 has failed. The bill would have eliminated the West Virginia Film Industry Investment Act transferable tax credit on July 1, 2017.
For more information on incentives around the world, visit our website and click on the country of interest.
The Jamaica Promotions Corporation (JAMPRO) is pursuing more high-level projects from filming in Jamaica, with the agency recently promoting the country for filming on missions to Latin America, Europe, and the United States. JAMPRO’s film commissioner, Renee Robinson, said they are focusing on building more global relationships to realize business opportunities for the Jamaican film industry. (See South Florida Caribbean News)
Since production incentives change on almost a daily basis, EP Financial Solutions maintains its expert standing with our constant involvement in worldwide seminars and conferences.
Winston Baker International Film Finance Forum – Cannes
May 19, 2017
Joe Chianese and John Hadity of EPFS will at the 8th Annual International Film Finance Forum presented by Winston Baker at the Intercontinental Carlton Hotel in Cannes on May 19, 2017. Joe will be moderating a panel titled “Cutting Edge Financing in a World of New Media.” If you would like to meet with Joe and John in Cannes, please contact Matthew Singletary at email@example.com
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 epfinancialsolutions.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.