AR HB1743

Authorizes tax credits and rebates as incentives for digital product and motion picture production in Arkansas, replacing the previous rebate-only system under the Digital Product and Motion Picture Industry Development Act of 2009

Extends the sunset date for tax incentive eligibility from June 30, 2029 to June 30, 2032

Provides additional 10% tax incentive for payroll of below-the-line employees who are Arkansas residents or veterans, and for expenditures paid to veteran-owned small businesses

Establishes a new tax credit mechanism (§ 15-4-2012) allowing production companies to claim non-refundable tax credits against income taxes, with ability to carry forward unused credits for five consecutive years and transfer credits to other taxpayers

Creates the Arkansas Supplemental Digital Product and Motion Picture Industry Development Trust Fund to provide supplemental tax credits exceeding the $4 million annual cap, subject to cost-benefit analysis approval by the Secretaries of Commerce and Finance and Administration