Apr 21, 2016 incentives wont be the only factor for producers deciding where to base projects as antilgbt laws in the south are sure to be a hot topic at the association of film commissioners international. Qualified expenditures include, but are not limited to, the following items. Kentuckys new film incentives quickly put state on. Though every effort has been made to remain current, laws and incentives change and, therefore, this information may have been revised. Since 2009, kentucky has offered tax incentives for film productions including featurelength movies, television.
But production incentive legislation changes rapidly and no two incentives programs are alike. Check each jurisdiction for uptodate information on production incentives. Kentucky boasts such production incentives as horses, middle american settings and a 30%35% refundable tax credit. Many people in film attribute that to kentuckys generous film incentive program which gave tax credits to the filmmakers. How new tax incentives could boost kentuckys fledgling film. What are the thresholds for each type of production. Filming in kentucky offers your production some of the most aggressive incentives in the nation. Movie production incentives in the united states wikipedia.
Kentucky is a 1938 technicolor film with loretta young, richard greene, and walter brennan. Steve beshear in may, kentucky s new tax incentives package for television and film production is a 30 percent refundable tax credit for qualified production costs with a goal to make the commonwealth competitive with other states. In 2002, louisiana expanded its program and the states film industry began to experience strong growth. Film incentives create opportunities for kentuckians. With so many brand new members, i thought i would try to give information about this network. Kentucky film tax credits create huge burden on state budget. Film production incentiveshb 445 eliminated the january 1, 2015 expiration date for the film industry tax credit. Movie production incentives are tax benefits offered on a statebystate basis throughout the united states to encourage instate film production.
Aug 05, 2015 the incentives are designed to boost the number of big film shoots in the state which are rare while increasing the number of small shoots that happen more regularly in kentucky. Greater cincinnati and northern kentucky film commission sees a chance to land more movie, tv production in the region. How new tax incentives could boost kentuckys fledgling. Big sky on the big screen act state tax incentives for.
This program allows companies who make entertainment programs in kentucky to receive limited rebates on the money they spend in the commonwealth. Feb 05, 2018 it wasnt long before state policymakers took matters into their own hands to compete for film industry business. Qualified productions have the option of taking advantage of either the sales tax refund incentive or the brand new kentucky statewide incentives. Whether your next production is a feature film, television series, commercial or music video, our office serves as your liaison with the local communities. Since shortly after kentucky enacted tax incentives intended to draw film production to the state in may 2012, hart county judgeexecutive terry martin said hes been interested in bringing the. Lease or rental of real property in kentucky as a set location. About soky fim commission southern kentucky film commission. Kentucky has a 30%35% nonrefundable and nontransferable tax credit for feature films, broadway productions, industrial films, documentaries and television shows. At the time, the package was attractive to outofstate filmmakers and helped make the state more competitive. The incentive provides qualifying applicants the ability to recover up a portion of qualified expenditures through a refundable income tax credit. The kentucky economic development finance authority kedfa, established within the cabinet for economic development to encourage economic development, business expansion and job creation, provides financial support through an array of financial assistance and tax credit programs.
With the new generous film incentive program, kentucky is now a major competitor in the film industry. The development of movie production incentives stems from the perceived economic benefits of filmmaking and television production in the us. Kentucky business incentives and financial programs. This is the first in a series of stories about tax breaks and incentive programs that cost kentucky billions of dollars each year. From film tax incentives to stunning landscapes, the kentucky film office is here to make your vision a reality. Steve wells and clyde posey examine the wide variety of state tax incentives available to the. Kentuckys probusiness climate provides a number of incentives for businesses. Our relationships with film offices, auditors and state revenue departments are unrivaled because we work with them more often, and on more productions. It is a romeo and juliet story of lovers jack and sally, set amidst kentucky horseracing, in which a family feud goes back to the civil war and is kept alive by sallys uncle peter. Nearly two dozen film production companies spent that amount of money in kentucky to produce 23 movies. Jan 18, 2018 the kentucky film office has a running list of approved incentives, which you can find here. In addition to helping production companies optimize and monetize state tax incentive programs, we provide a variety of advisory.
Matt bevin ordered the program suspended because he believes it. Production credits can be in television, commercials, film andor documentaries. New mexico has a 25 to 30 refundable film production tax. The kentucky film office has a running list of approved incentives, which you can find here. Why bevin is taking an ax to kentuckys controversial film. From caves, rivers, and streams to the most diverse land in the country, southern kentucky has your filming needs covered. Tax incentives for film production kentucky film office. Hollywood may still be home to the major film studios, but since states began passing movie production incentives mpis in the 1990s, production crews have taken advantage of some very lucrative tax credits, cash rebates, grants and sales. First lady jane beshear on the new film tax incentives for kentucky. Kentucky offers incentives for new and expanding industry, small businesses, workforce training and more. Monies collected are used toward the development of film cincinnati programs, advocacy, promotional events and to support the continued growth of local film production.
Eligibility for refundable motion picture or entertainment production tax incentives incentives available. Kpm film is cpa firm who serve as trusted advisors to state tax offices and film bureaus, attorneys, producers and studio finance departments on the subject of film tax credits across the u. Kentucky gives away millions in film incentives, doesnt know what it. The incentives are designed to boost the number of big film shoots in the state which are rare while increasing the number of small shoots that happen more regularly in kentucky. Expanding kentuckys film credit does not ultimately serve state in unwinnable race to the bottom as of march of 2014, 39 states were awarding film production incentives to attract the industry. Many people in film attribute that to kentucky s generous film incentive program which gave tax credits to the filmmakers. This legislation gives kentuckybased filmmakers and production companies a legup by offering incentives that help curb their film production costs, said mrs. Jun 10, 2015 kentucky previously passed a series of film production tax incentives in 2009. For those listings, please make sure you are entering one professional production credit per category or there will be a delay in getting your listing live and online. Film cincinnati is a 501 c 3 nonprofit corporation which accepts charitable donations tax deductible from companies and individuals. Please contact entertainment partners or your legal or tax advisors to confirm any laws or the effect of incentives on your project.
If you have any questions, please contact the kentucky film office at 18003456591. The kentucky film office and the secretary or the tourism, arts and. Financial incentives kentucky cabinet for economic. The kentucky film incentive is designed to encourage the development of the film industry in kentucky. Photography, sound synchronization, lighting, and related services. Jul 10, 2019 the film industry in kentucky has slowly been rising. Click around the listings below to get information on film commissions, research production incentives, look up state labor laws, and find local organizations that provide assistance and resources to independent filmmakers like you.
Production incentives local and international jurisdictions compete heavily for your production dollars, and offer tempting financial incentives to obtain your attention. We have the industrys most extensive inhouse team of production incentives, finance, and tax experts, and our knowledge of the latest legislation and local laws and regulations is unsurpassed. As the southern kentucky film commission, we are here to make the business of film making easier. Film incentives are good for kentucky letters to the. Kentucky previously passed a series of filmproduction tax incentives in 2009. The kfo provides free listings for crew and support services. Incentives wont be the only factor for producers deciding where to base projects as antilgbt laws in the south are sure to be a hot topic at the association of. Qualified productions can take advantage of a nonrefundable and nontransferable income tax credit of 30% of approved expenditures, 35% of kentucky resident. Among the numerous benefits kentucky offers filmmakers are a variety of available film locations from historical mansion, old country church, river, mountains, city to horse farms and racetracks and a talented crew base. These incentives came about in the 1990s in response to the flight of movie productions to other countries such as canada. Film incentives are good for kentucky letters to the editor. Why an expanded film incentive matters to cincinnati. Louisiana was the first state to adopt state tax incentives for film and television production in 1992.
At the same time, kentucky increased its available tax credit from 20 percent to 30 35 percent of. This statebystate production resource guide can help make it easier to decide where to film your next production. Then, use our sidebyside comparison tool to assure youre getting the incentive thats right for you. Ohio has a 30 percent refundable and transferable credit.
If you are submitting for a feature film or broadway production. Aug 06, 2015 this legislation gives kentuckybased filmmakers and production companies a legup by offering incentives that help curb their film production costs. Kentucky offers one of the most generous film incentive programs in the country. In addition to helping production companies optimize and monetize state tax incentive programs, we provide a variety of advisory, audit and tax services.
Steve beshear in may, kentuckys new tax incentives package for television and film production is a 30 percent refundable tax credit for qualified production costs with a goal to make the commonwealth competitive with other states. Financial incentives kentucky cabinet for economic development. Kentucky film incentive the kentucky film incentive is designed to encourage the development of the film industry in kentucky. State records show that in december a film incentive of.
June 2009 through june 2016 approved kentucky production. The southern kentucky film commission is your gateway to one of the largest back lots in kentucky. Use the link below for more detail on each individual incentive program. The production incentive program was created in 2009, but it wasnt until 2015 when steve beshear kentuckys governor at the time signed legislation significantly enhancing the financial incentives available to producers that production really took off. Here are the ten states with the best tax breaks and benefits for film production. This is no longer an addback on kentucky schedule m. The film industry in kentucky has slowly been rising. Following is an overview of the current kentucky film and production tax incentives and credits.