AL HB379

Creates a new small production incentive program offering a 45% rebate on payroll paid to Alabama residents for productions with expenditures between $100,000 and $499,999, with up to $2 million reserved annually for this program

Increases the aggregate annual incentive cap from $20 million to $22 million beginning fiscal year 2026, with $2 million reserved specifically for music albums

Lowers minimum expenditure thresholds for soundtracks and music videos from $50,000 to $30,000, and reduces the maximum eligible expenditures for soundtracks from $300,000 to $200,000

Extends the deadline for the Department of Commerce to contract with an out-of-state entity for program review and evaluation from the 2027 to the 2028 Regular Legislative Session

Clarifies that payments to loan-out companies qualify for rebate calculations only if the production company withholds and remits Alabama withholding tax or income tax at the highest applicable rate