HB1760 Summary

• Establishes the "Arkansas Arts and Cultural Districts Act" allowing cities, counties, or groups of municipalities to apply to the Arkansas Arts Council for designation of arts and cultural districts based on high concentrations of arts and cultural resources.

• Defines "artistic work" to include books, plays, musical compositions, paintings, sculptures, crafts, films, dance, jewelry, clothing design, and related products; excludes industry-oriented production and tailoring/repair services.

• Provides three tax incentives within designated districts: property tax credit for construction/renovation (up to 10 years, minimum $5,000 spent), income tax exemption for qualifying artists' artistic work sales, and sales/use tax exemption for artistic works created by qualifying artists or sold by galleries.

• Requires property owners to register with county assessors to claim tax credits, which must be claimed by October 10 of the year after assessment and appear on property tax bills.

• Becomes effective for property tax assessments and income tax beginning January 1, 2011, with sales tax provisions effective the first day of the calendar quarter following enactment.