This can include cast, crew, storyboarding, other casting needs, set design, wardrobe, makeup, props, and location. To qualify for the Georgia tax credit, production expenditures must be made in Georgia from a Georgia vendor. What expenditures qualify for the Georgia film tax credit? While interactive games and digital media projects do not qualify for Georgia film incentives, they may qualify for digital media tax credits.To earn the 20% film tax credit, the Georgia Department of Economic Development must certify the project (more on this later).Projects that do not meet the requisite base investment requirement.Political or editorial-based content programming.Film or television projects created for a limited audience, including, but not limited to museum presentations.Certain instructional or how-to-video based content and programming, as determined by GDEcD.Infomercials, infotainment, or solicitation-based productions.Small scale games embedded and used exclusively in advertising, marketing and promotional websites or micro-sites.Any productions in violation of Title 16 Chapter 12 of the state’s Obscenity Statute.Corporate marketing, industrial, or institutional end-users.Content that primarily involves post-production.Projects and content consisting solely of footage shot, recorded, or originally created outside of Georgia.Local interview, talk shows or other local interest programming that’s not intended for be distributed commercially across multiple markets.Live or prerecorded news or current affairs programming covering news that has recently occurred or is ongoing at the time of the broadcast. ![]() Live or prerecorded broadcast of athletic events.Projects that do not qualify for tax credit: Qualified projects’ distribution must extend outside the state of Georgia and have a minimum of $500,000 qualified in-state expenditures over a single tax year.Įligible productions for the Georgia film tax credit include: To earn the 20% film tax credit, the Georgia Department of Economic Development must certify the project (more on this later). They also don’t need a Georgia bank account to qualify for the Georgia film tax credit. Fortunately, production companies don’t have to be incorporated or have their headquarters in Georgia. Who qualifies for Georgia film incentives? Payments made to a loan-out company in 2023 will require 5.75% Georgia income tax withholding. There is no salary cap on individuals paid through 1099, personal service contract or loan-out. ![]() If the production company pays an individual for services as a loan-out, a personal services contract, or a 1099 individual meets the criteria for a loan-out, then Georgia income tax must be withheld and remitted by the production company for those costs to qualify. There is a salary cap of $500,000 per person, per production, when the employee is paid by “salary,” which is defined by the Georgia film incentives website as being paid with a W2. Under the act, the Georgia movie tax credit is available to both Georgia residents and non-residents. * Keep in mind the 10% GEP Logo Uplift tax credit isn’t available for commercials. This needs to be included in the initial public screening, and the project's promotional website must include this link, (Explore Georgia film site). This is an additional 10% tax credit for certain approved projects that include an embedded Georgia logo in the finished and commercially distributed product. On top of that credit, the state also has a Georgia Entertainment Promotion (GEP) Uplift credit. This can include a single production or the total of multiple projects aggregated in a single tax year. The Georgia Entertainment Industry Investment Act (GEIIA) gives a 20% tax credit to companies that spend $500,000 or more in Georgia during production and post-production. What is the Georgia Entertainment Industry Investment Act? ![]() Now, you may be wondering: how much is the tax credit? The Georgia Entertainment Industry Investment Act outlines this. If the production company chooses, they can sell or transfer the tax credit to one or more Georgia taxpayers - either individuals or corporations. The tax credit may be used against the taxes your production team may otherwise have to pay in Georgia. The Georgia Department of Revenue (GDOR) is the department that manages the earnings and claims of the credits. The Georgia Department of Economic Development (GDEcD) is the governing body that certifies projects which qualify for the film tax incentive. A Georgia film tax credit is a financial incentive that encourages production companies to film in Georgia by providing them with savings (or tax benefits).
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