HF 4373 Summary

• Establishes a refundable film production tax credit equal to 25 percent of direct production expenditures and postproduction expenditures made in Minnesota, with an additional 5 percent credit for television pilots, series, and qualified production facilities.

• Limits annual credit certificate allocation to $110,000,000 per taxable year (with up to $20,000,000 carryover for years 2021-2023) and individual project budgets to $210,000,000 maximum.

• Requires film production companies to submit applications with $500 fees, provide Minnesota acknowledgments in credits, and submit annual employment and wage reports to the Department of Employment and Economic Development.

• Allows credits under $2,000,000 to be claimed immediately; credits of $2,000,000-$5,000,000 split over two years; and credits of $5,000,000+ split over three years, with excess amounts refundable to taxpayers.

• Effective for film productions beginning principal photography after December 31, 2020, with intent to establish film as a permanent economic component of Minnesota and increase resident employment.