Raised Bill No. 5465 Summary

• Repeals and replaces Connecticut General Statutes Section 12-217jj effective January 1, 2021, expanding the film production tax credit program to include additional tax types and production categories.

• Expands tax credit eligibility to include credits claimed against sales tax (Chapter 219) starting January 1, 2021, in addition to existing income tax options, with credits reduced to 92% of the voucher amount for sales tax claims.

• Allows production tax credits to be claimed against Chapter 207 (income tax), Chapter 211 (corporate tax), Chapter 219 (sales tax), or this chapter for income years commencing on or after January 1, 2021, with five-year carryforward periods.

• Maintains credit percentages of 10%, 15%, and 30% based on production expenses ($100,000-$500,000, $500,000-$1,000,000, and over $1,000,000 respectively) and requires 50% of principal photography or postproduction costs to occur in Connecticut.

• Requires transferred credits claimed against sales tax to involve at least 50% common ownership between transferee and original production company, with companies claiming only 92% of the credit amount on vouchers.