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IN SB0152
Bill
Status
1/3/2019
Primary Sponsor
Lonnie Randolph
Click for details
AI Summary
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Reestablishes Indiana's media production expenditure tax credit (expired 2012) as a refundable credit for qualified production expenditures of at least $50,000, effective January 1, 2020 through December 31, 2022
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Productions spending under $6,000,000 receive a 40% credit for expenditures in economically distressed areas (25%+ poverty rate or unemployment 1.5x state average) or 35% for other qualified expenditures
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Productions spending $6,000,000 or more must apply to the Indiana Economic Development Corporation for pre-approval and receive a credit rate up to 15% determined by IEDC
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Maximum total credits across all taxpayers capped at $2,500,000 per state fiscal year
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Qualified expenditures include wages to Indiana residents, sets, equipment rentals, food/lodging, and production services; excludes wages to non-resident directors, producers, screenwriters, and principal actors
Legislative Description
Media production expenditure income tax credit. Reestablishes the media production expenditure tax credit (which expired in 2012), with certain changes. Provides a refundable tax credit to taxpayers that make qualified production expenditures in Indiana. Provides that the tax credit may be granted only if qualified production expenditures are at least $50,000. Provides that in the case of a taxpayer that claims the tax credit for qualified production expenditures of less than $6,000,000, the amount of the credit equals a percentage of the taxpayer's qualified production expenditures. Specifies that the percentage is: (1) 40%, in the case of qualified production expenditures paid to an individual or entity located in an economically distressed municipality or county; or (2) 35%, in the case of other qualified production expenditures. Provides that in the case of a taxpayer that claims the tax credit for qualified production expenditures of at least $6,000,000: (1) the amount of the credit equals the taxpayer's qualified production expenditures multiplied by a percentage (not more than 15%) determined by the Indiana economic development corporation (IEDC); and (2) the taxpayer must, before incurring or making the qualified production expenditures, apply to the IEDC for approval of the tax credit. Provides that the maximum amount of media production expenditure tax credits that may be allowed during a state fiscal year for all taxpayers is $2,500,000. Specifies that these tax credits may not be awarded for a taxable year ending after December 31, 2022.
Last Action
First reading: referred to Committee on Tax and Fiscal Policy
1/3/2019