HI HB785

Increases the motion picture income tax credit from 25% to 27.5% for qualified productions in counties with a population of 700,000 or less, while maintaining the 20% credit for counties with populations exceeding 700,000.

Applies to taxable years beginning after December 31, 2014.

Requires taxpayers claiming the tax credit to verify the county residency of local hires when reporting hiring information to the Department of Business, Economic Development, and Tourism.

Allows qualified productions occurring in multiple counties to prorate expenditures based on amounts spent in each county to determine the applicable credit percentage.