Incentives
Many states offer various film and video production incentives. These can be in the form of cash payments, tax credits, tax rebates, and waiver or reduction of sales and various other taxes. Some credits are transferable to other business entities. Every state is different, but usually the film production company must;
• Meet certain spend criteria
• Meet a minimum amount spent in state
• Be approved
• Submit applicable documents
• Go through an audit process
After production is complete and all conditions of the state’s requirements are met, the state then issues a refund in the form of a check, credit, or rebate. For further specific information on some individual states see below.
Example of State Production Incentive
In New Mexico (NM), which is considered a Tier 1 state