|Posted:||January 18, 2017 12:24 PM|
|From:||Representative Paul Costa|
|To:||All House members|
|Subject:||Legislation to Broaden Availability of Film Tax Credit (Former HB 1448)|
In the near future I plan to introduce legislation which will broaden the availability of the successful Pennsylvania Film Production Tax Credit program.
The legislation would “uncap” the film tax credit. The advantage of “uncapping” this credit is to give the Department of Community and Economic Development the flexibility to fully commit to multi-year productions and to more effectively budget for the program. Even with an “uncapped” program, the General Assembly would need to budget for the estimated amount of the credit in each fiscal year.
A report from the independent Fiscal Office, concludes that uncapping the credit would have significant positive impact on Pennsylvania’s economy with a minimal cost in the coming fiscal year. To date, it has been estimated the state has lost over $1 billion in revenue due to having a capped tax credit.
Currently, nine states (Connecticut, Georgia, Louisiana, Massachusetts, Kentucky, Maine, Hawaii, Illinois, and North Carolina) have uncapped film production tax credits. As a result, many of those states have seen a significant increase in the number of film and television productions in the state, along with a corresponding increase in the number of film-related jobs.
The legislation will also grant an additional five percent credit for post-production work completed in Pennsylvania at a post-production facility with at least 10 permanent, full-time employees who live in Pennsylvania. Similarly, it would also provide a tax credit for videogame production conducted in the Commonwealth at a facility with at least 10 permanent, full-time employees who live in Pennsylvania.
I hope that you will join me in co-sponsoring this important piece of legislation. Thank you in advance for your support.
Previous co-sponsors: Barrar, Brownlee, Burns, Cohen, D. Costa, Davis, DeLuca, Donatucci, Driscoll, Gibbons, Harhai, Harkins, Kirkland, Longietti, Mahoney, McNeill, Murt, O’Brien, Readshaw, Schreiber, Schweyer, Sturla, Thomas and Youngblood
Introduced as HB393