
1

Comparative Incentives

An Exploration in State Film Production Incentives
for Missouri, Louisiana, New Mexico

Missouri’s Current Incentive Plan

The state of Missouri has in place a tax incentive plan designed to attract film productions that would otherwise shoot elsewhere. This incentive plan has been in place for several years, recently requiring legislature to reinstate the plan.

Overview

Missouri currently administers several incentive plans, including the Film Production Tax Credit Program, through the Department of Economic Development and the Missouri Development Finance Board. “Tax credits” are only one type of incentive; others include tax deductions and tax exemptions. Tax credits, by design, encourage private sector funding (funding from outside the state or federal government) by reducing an entity’s tax liability dollar for dollar.

Program Caps

A “cap” is the total dollar amount of credits available for the program. Some of the state’s tax credit programs have no cap on tax credits; others cap the dollar amount in one of the following ways:

Annual program cap

Cumulative program cap

Per Project cap

Economic Impact cap

The Film Production Tax Credit Program contains two caps:

Annual program cap

$1.5 million dollars

Per Project cap

Up to 50% of expenditures, not to exceed $1 million in tax credits per project

Qualification

A film production company must spend in excess of $300,000 in the state in order to qualify for the tax credit program. Only expenditures deemed necessary for the production of the film qualify towards this amount.

Additionally, only projects that have yet to select a location are eligible for the program.

From the Missouri DED Website:

“Because the tax credit program is an incentive program, DED cannot award tax credits to producers who have already selected the state for their project. Hence, the reservation of credits for a project must be completed before Missouri has been selected as a location for the project. For the purposes of reserving tax credits, establishing a production office in the region is evidence that Missouri has been selected as a location for the project.” (http://www.ded.mo.gov/filmcommission/html/incentives.htm)

Any film production company based within Missouri exempts itself from the program.

Assignability

Tax credits are fully assignable. This is important, as most production companies from outside Missouri will not be concerned with Missouri income tax liability. The tax credits may be sold to other entities, and carry forward for up to five years.

Reservation

Because the credits are limited, the DED accepts applications for production companies that are considering shooting in Missouri. Based on the application, the state reserves the right to withhold credits for a specific future project--it is entirely possible that at any given time, the state will have filled it’s quota on tax credits. When this occurs, the state provides a date as when credits are again available.

It is important to note that the reservation is not a guarantee: the reservation only guarantees that the credits are available and may be awarded after review of the final production.

Delivery

From the DED website (emphasis added):

“The actual certificates of state income tax credits may be delivered to the production company upon completion of the Missouri portion of the project and verification by DED of the Missouri expenditures. A transfer form will need to be completed if the tax credits are to be sold or otherwise transferred. Without submitting this form to DED, the Department of Revenue will not recognize the transfer.” (http://www.ded.mo.gov/filmcommission/html/incentives.htm)

Benefit

A filmmaker unaccustomed to the tax credit program may ask him/herself, “How does this program benefit me as a filmmaker?”

1) Out of State Filmmakers

Scenario: An out of state filmmaker, after qualifying and completing all of the appropriate procedures, receives from DED a dollar amount tax credit.

(Example: XYZ Film Company LLC, Missouri Production Budget $1,000,000; Tax Credit Issued $400,000).

This credit be applied to XYZ Film Company LLC’s Missouri State Income Tax liability, or can be sold to a Missouri Based company to generate cash. DED maintains a list of tax credit brokers that can initiate a sale.

(Example: XYZ Film Company LLC has zero Missouri State Income Tax liability and owns $400,000 in tax credits. XYZ asks a broker to find a buyer—someone to purchase the credits. The broker finds ABC Conglomerate Inc., a Missouri company looking to offset its tax liability. ABC offers to purchase the tax credits at ninety cents on the dollar. ABC then issues a check to XYZ for $360,000 in exchange for their tax credits. XYZ has now reclaimed $360,000 in cash from their Missouri production while ABC has now paid the equivalent of only $360,000 in income tax as opposed to $400,000).

2) In-State Filmmakers

In its current form, the Missouri State Film Production Tax Credit Program offers no benefit to Missouri-based filmmakers.

Conclusions

The Missouri State Film Production Tax Credit Program is, by design, only aimed at drawing out of state film production into Missouri. As an economic stimulus, this incentive intends only to attract funds that would otherwise be spent in another state. It is not designed to aid Missouri filmmakers, or stimulate homegrown production.

The total amount of incentives is $1.5 million dollars. Since a production company may only receive up to 50% of its production budget in incentives, we can logically assume that most production companies will try to design their shoot to do just that. Assuming this, we can estimate the total amount spent by outside production companies to be at or around twice the capped amount. In other words, the $1.5 million dollar cap restricts the total amount of economic stimulus to around $3 million dollars.

On a $10 million dollar movie, the total amount of incentives that can be earned is the project cap: $1 million dollars.


2

Comparative Incentives

An Exploration in State Film Production Incentives
for Missouri, Louisiana, New Mexico

Louisiana’s Current Incentive Plan

In 2002, the state of Louisiana approved a tax incentive program designed to stimulate economic development (similar to Missouri’s incentive plan). The plan was originally introduced as temporary legislation for economic stimulus—but upon the success of the plan, deadlines have been extended and in some cases extended indefinitely.

Overview

The Louisiana incentive program consists of three incentive types: investor tax credits, labor tax credits, and sales tax exemptions. Each of these incentives carries its own set of regulations and its own benefits.

Investor Tax Credits

This incentive grants:

“a tax credit against state income tax for taxpayers domiciled and headquartered in Louisiana. It is designed to attract private investment in or the production of nationally distributed feature length films, videos, television programs, or commercials made in Louisiana, in whole or in part for theatrical or television viewing or as a television pilot.” (http://www.lafilm.org/incentives/investor_tax_credit.cfm)

This is similar to the intentions of the Missouri plan, however, it does not limit the benefits to private investors from outside the state—the Louisiana plan allows for a benefit to investors within the state. It is important to note that the plan only applies to productions intending national distribution.

Time

This tax credit is earned at the time of the investment. This differs from the Missouri plan—the Missouri incentive is only earned once a verification process has occurred at the end of the production. The investor, and production company, are therefore guaranteed the benefit at the beginning of the production—a much greater incentive.

Program Caps

The Louisiana tax programs contain no dollar caps. However, the base benefit to filmmakers is limited by the amount invested. If the total base investment is greater than $300,000 and less than or equal to $8 million dollars, the incentive is limited to a tax credit of 10% of the actual investment made. If the total base investment is greater than $8 million dollars, the incentive is limited to a higher tax credit of 15% of the investment made.

The lack of program caps is important to note. A $10 million dollar film shooting in Missouri is only eligible for $1 million dollars in tax credits. A $10 million dollar film shooting in Louisiana is eligible for 15% of the investment, or $1.5 million dollars. This takes into account only the Investor Tax Credit, not withstanding LA’s additional incentive programs. By this incentive alone, a $10 million dollar film saves $500,000 by not shooting in Missouri.

Assignability

Tax credits received under this program function in much the same way as those earned in Missouri. However, the credits carry over for up to ten years rather than the five years in Missouri. If the production company cannot redeem the credits in five years, under the Missouri law the credits are void. Under the Louisiana law, the credits are valid for another five years.

Reservation

Because there are no program caps, the credits do not need to be reserved. However, since the credit is granted at the time of investment, the application must be filled out in advance of production. The process is similar to that of Missouri’s; however, under Louisiana’s law once the funds have changed hands the credits are immediately issued.

Delivery

As stated above, credits are delivered upon investment in a state certified production.

Benefit

The tax credits issued under this program benefit both in-state and out-of-state productions in the same manner: reducing the income tax liability of the investor. It is important to note that the benefit is immediate: once the funds have changed hands, the credits are issued. If a production is scheduled for an extended period, this can be advantageous. For example: a film is scheduled to shoot from Dec. 1^st until Feb. 1^st. Under the Missouri plan, the incentive will only be distributed at the end of production (after Feb. 1). Under the Louisiana plan, the incentive is distributed as soon as the funding exchanges hands—this could happen months before the actual production. In this scenario, the Louisiana plan would allow the investor to benefit from the incentives during the current tax year.

On a $10 million dollar movie, this program alone earns $1.5 million dollars.

Labor Tax Credit

This credit is a temporary credit designed as an economic stimulus until July 1, 2006. The credit intends to increase the number of Louisiana production personnel hired in relation to filmmaking. Many production companies bring production personnel with them from the coasts/Hollywood. This incentive plan encourages local jobs and funds spent in-state.

Time

This tax credit is earned at the time of certification.

Program Caps

The Louisiana tax programs contain no dollar caps. This particular credit is equal to 10% of the payroll for residents employed in connection with an in-state production when the total production costs in Louisiana equal or exceed $300,000. The credit is increased to 20% of the payroll for residents employed in connection with an in-state production when the total production costs in Louisiana equal or exceed $1 million.

There is no comparable plan in Missouri.

Assignability

Tax credits received under this program function in the same manner as those received under the Investor Tax Credit.

Reservation

Because there are no program caps, the credits do not need to be reserved.

Delivery

Credits are delivered after review of production documents.

Benefit

For a $10 million dollar film, estimating crew costs at 4% of the budget, the earned credit is $80,000. Combined with the investor tax credit, the total is $1,580,000 in tax credits.

Sales Tax Exemption

This program is temporary, designed as an economic stimulus until January 1, 2007. The program intends to increase holdings in financial institutions within the state of Louisiana—this exclusion is earned when a production company places large assets in a financial institution located in-state, and spends funds from that account.

Time

This sales and use tax exemption is earned when the production company submits planned expenditures to the state for review.

Program Caps

The Louisiana tax programs contain no dollar caps. This particular program excludes the production company from sales and use tax (4%) when the company spends more than $250,000 in-state from a checking account held at a financial institution located in-state.

There is no comparable plan in Missouri.

Assignability

These exemptions are not assignable as they apply specifically to items bought for production.

Reservation

Because there are no program caps, the credits do not need to be reserved.

Delivery

The exemption is provided after the state has reviewed the intended purchases (production budget) and verifies the account information.

Benefit

The tax exemption issued under this program benefit both in-state and out-of-state productions in the same manner: reducing production costs by excluding sales and use tax from purchased items. It also benefits business owners by encouraging production companies to purchase products in-state, rather than from an out-of-state supplier. It further benefits financial institutions by requiring the production company to obtain a checking account located in-state: this possibly extends the benefit into the future by encouraging the production company to retain assets in that bank.

Estimating purchases and the resulting savings is difficult as every budget is different.

On a $10 million dollar movie, combining this exemption with other Louisiana tax incentives results in a total incentive package in excess of $1.6 million dollars. This equates to approximately 16% of the film’s budget. Since there are no caps, this savings also applies to much higher budgeted films.

Conclusions

The Louisiana Film Production Tax Incentive programs are designed in a multi-pronged method. The incentives create job growth, out-of-state and in-state private sector investment, stimulate business to business purchases, and motivate and expand the filmmaking market within the state.

These tax incentives vigorously compete with similar programs in other states, and in other countries (Hungary, Prague, Canada, and New Zealand). With a proposed savings of 16%, a film such as Ray (filmed in Louisiana) budgeted at $38 million dollars would save approximately $6.08 million dollars by filming in Louisiana. This is why the state is able to lure productions away from other states such as Georgia and Florida. If Ray were to shoot in Missouri, the incentives allotted to the film would be the project cap of $1 million dollars.

Additional Information

The state of Louisiana includes other programs as well.

“While the tax breaks have been the main focus of efforts to build the industry, the state also is looking to build the infrastructure and work force to support its growth.

To that end, it has directed more than $1 million in federal welfare-to-work funds to new film-industry training programs at two regional community colleges, including $800,000 for Baton Rouge Community College.

Lawmakers also allocated $613,000 to complete a sound studio at the University of New Orleans, thereby filling an earlier gap in Louisiana's film-industry infrastructure.” (“Film industry tax benefits could boost economy” , July 2,.2003, Sara Bongiorni, The Advocate)

A recent article about the success of Louisiana’s Film Incentive Programs (emphasis added):

The Shreveport Times

Louisiana film tax credit generates millions in movie business.

By John Hill, February 6, 2005

The money

The Louisiana film and TV and video tax credit program spurred huge growth in production dollars spent in Louisiana. Here's how it has grown: 2002 $20 million. 2003 $210 million. 2004 $335 million. Source: Governor's Office of Film and Television.

BATON ROUGE -- As changes in the state income tax rates put the pinch on higher-income taxpayers, Shreveport commercial banker Harold Turner checked out Louisiana's new film tax credit program.

He could buy film tax credits the state grants to movie production companies and use them to reduce his taxes. Turner bought the excess tax credits from "The Runaway Jury," one of the first productions to take advantage of the Louisiana program that, in effect, helps producers raise part of their money.

"I looked at the movie in a different light. I felt a little part of it," Turner said.

Louisiana's film and TV tax credit program, approved by the state Legislature in 2002, is a growth industry that has spawned a new business of brokering movie tax credits -- which any Louisiana taxpayer with a need to reduce taxes can purchase.

Here's how it works: The state grants tax credits to movie companies worth up to 15 percent of production costs.

The tax credits are worth a dollar-for-dollar reduction in state income taxes.

The movie companies, usually California-based, normally pay far less Louisiana taxes than the credits are worth. The company is allowed to sell the excess tax credits, bought by Louisiana-based firms to reduce their taxes or to resell to individual taxpayers, usually in increments of $10,000, who then can use the credits to reduce their personal taxes.

The result has been an explosion in movie investment in Louisiana, beginning with 2003, the first year the tax credits were available.

There is a check on the movie companies: They must certify their expenses post-production.

The movie "Ray," the Ray Charles story that has six Oscar nominations, was one of the first major productions to take advantage of the Louisiana film program. The importance of the movie is that none of it was set in Louisiana, but the bulk of it was shot in the state. For instance, a New Orleans street scene was used to depict New York, with only the very knowing able to catch the trademark Whitney National Bank Building tower in a background scene.

"Ray" marked the turning point in the Louisiana film industry.

"What we had experienced just a few years ago is that they had taken movies that were set in Louisiana but shot it up in Canada, where they had built a set that looked like the French Quarter," said Louisiana Gov. Kathleen Blanco, who as lieutenant governor worked with the film industry. "That was so insulting."

Blanco happily turned over her office last week to the production of "All the Kings' Men," a $60 million major production starring Sean Penn and Jude Law, who are spotted in and around the Capitol.

"In order to be eligible for the film credits, they have to hire Louisiana people," Blanco said. "We just see more opportunities for our citizens."

The governor said she's been in talks recently with film people from New York and Los Angeles about building a post-production facility in Louisiana. "That would be the best of all worlds to be able to get them not just for our beautiful scenes, but to also do the finished production here.

"It would save them a lot of money," Blanco said. "And it would create a lot of high-technology jobs here."

"All the King's Men" co-producer Ken Lemberger said the film could have gone anywhere in the South even though the movie's story comes from the Pulitzer Prize-winning novel by Robert Penn Warren that was based on Huey Long and set in Louisiana. "We considered other locations quite seriously."

But the film company was "approached very aggressively" by the Louisiana Film Commission and the governor's office, Lemberger said. "In the end, it was not only the locations but also the tax incentive -- a very significant number" that sewed up the production in Louisiana.

"The state has gone out of its way to make it easy to get the credit," he said. "The law is simple, very direct. You can enjoy the benefit while you are filming."

Other state tax-incentive programs grant the benefits only after production.

"We needed to produce this film as economically as possible," Lemberger said. "It's not a cheap film. We have a lot of expensive actors."

The impact of the tax program has been huge, said Alex Schott, director of the Governor's Office of Film and Video Development. "'Ray' would have been shot in Georgia.

"Because of the incentives, we are able to get films that are not set in Louisiana. We can duplicate other locations like downtown New Orleans for a New York street scene."

Schott said the movie "Cold Mountain," set in the South during the Civil War, was shot in Romania. "If they can film a Civil War epic in eastern Europe, they can go anywhere."

"Runaway Jury" was bound for Canada when the tax incentives lured it to New Orleans, Schott said.

About one-third of a movie's production costs go into the local economy, from purchases by the caterer to drivers to crew members. The boom is causing Baton Rouge Community College to look at adding film production classes.

The companies hire extras, local talent, skilled workers, grips and gaffers. And the jobs pay well, Schott said.

Baton Rouge native George Kostuch, now a Los Angeles film producer and tax credit broker, said Hollywood has taken notice of Louisiana, which he talked up at the recent Sundance Film Festival.

"Whenever you mention Louisiana, people's eyes light up. It has become the star of the show. Hollywood understands the value of shooting a film in Louisiana."

Kostuch's company is financing five upcoming projects for Louisiana, including an independent film that will star Sissy Spacek.

And he said he's been in recent talks with venture capital firms contemplating investment in post-production facilities and soundstages in Louisiana. "I was talking with some bankers from Hibernia who are financing support companies" such as lighting companies and film caterers, he said.

The benefits of the tax program far outweigh the tax credit costs to taxpayers, said Shreveport film producer Jim McCullough, who is joint partner with some Shreveport firms that sell tax credits.

"We are putting a lot of effort into bringing production to Louisiana," McCullough said. "The math of it is simple: 85 percent of the production stays in the state, so it's a pretty good trade."

Stephen Roberts, a partner in a Shreveport CPA firm that sells the credits, said about 600 people, all but about five of them individuals, have purchased the film tax credits his company has brokered.

"We pay the producer cash at a discounted amount. We, in turn, sell them to any Louisiana taxpayer. It's primarily our client base, but it's available to any Louisiana taxpayer."

Only higher-income taxpayers, usually those with six-figure incomes, usually benefit because the minimum tax credit sold normally is $10,000, Roberts said. A $10,000 tax credit purchased for $8,500 could save the taxpayer $1,500, he said.

"You can carry the credits forward for a 10-year period. But we would only recommend you buy it on a year-by-year basis."

The $10,000 limit is about standard in this growth industry because of the paperwork involved, he said.

So who buys the credits?

"Young professionals, a yuppie couple making $100,000 a year, moms and pops," Roberts said.

Shreveport accountant John Dean, who also works with McCullough, has become a convert to the benefits of the tax credit program. "People are coming out of the woodwork trying to buy the credits.

"There are some of us who were skeptical of the motion picture business who are now looking at it more seriously as a money-making venture," Dean said. "I first saw it only as a tax credit, but you are seeing it as an economic development tool."


3

Comparative Incentives

An Exploration in State Film Production Incentives
for Missouri, Louisiana, New Mexico

New Mexico’s Current Incentive Plan

Overview

New Mexico has introduced two incentive plans specific to filmmaking. The first is a Film Production Tax Credit, the second a Gross Receipts Deduction. The two incentives may not be used concurrently.

Film Production Tax Credit

This credit is assessed in much the same manner as Missouri’s Film Tax Credit program, and Louisiana’s Investor Tax Credit program, and for the same reasons: encouraging and stimulating filmmaking within New Mexico. The program is not specific to out-of-state production companies.

Time

This tax credit is earned after completing production, and is granted at the end of the current tax year.

Program Caps

The New Mexico tax programs contain no dollar caps. This particular credit is equal to 15% of the total direct production costs associated with production in New Mexico. There is no minimum required to receive the credits.

Again, the lack of a program or project cap is important to note--this open-ended program attracts large budget features. The lack of a minimum budget attracts low-budget features.

Assignability

Tax credits received under this program function in the same manner as those received under the Missouri Film Tax Credit program with one important difference: the credits must be applied to the production company’s New Mexico income taxes. They are non-transferable, and if the company has no New Mexico tax liability, the credits are refunded to the production company. There is no need to sell the credits to a third party.

Reservation

Because there are no program caps, the credits do not need to be reserved.

Delivery

Credits are delivered at the close of the current tax year.

Benefit

The tax credits issued under this program benefit both in-state and out-of-state productions in the same manner: reducing the income tax liability of the investor. It also benefits low-budget filmmakers by allowing them to take part in incentive programs. By far, there are more low-budget films than big-budget—this steady stream of low-budget films creates a knowledgeable and reliable skilled worker base (another draw for out-of-state productions).

Additionally, because the tax credits are refunded, there is no convoluted process for turning the credits into cash—they are issued and, if not used, refunded in cash by the state.

For a $10 million dollar film, the earned credit is $1.5 million dollars.

Gross Receipts Credit

This program is designed as an economic stimulus targeting in-state sales. It functions in a similar manner as the Sales and Use Exemption in Louisiana. It cannot be combined with the Film Production Tax Credit.

Time

This program is initiated before production by a series of filings with the state. The production company is issued tax-free documentation to present to business when purchasing production related goods.

Program Caps

The New Mexico tax programs contain no dollar caps. This particular program removes the sales tax on production related goods and requires no minimum to spend. It differs from the Louisiana plan, as it does not require a New Mexico based checking account. The current New Mexico sales and use tax is 5%.

There is no comparable plan in Missouri.

Assignability

This program is not assignable as it deals strictly with direct sales to the production company.

Reservation

Because there are no program caps, the program does not need to be reserved.

Delivery

The exemption is in place before production and continues until completion.

Benefit

Estimating purchases and the resulting savings is difficult as every budget is different.

Conclusions

The New Mexico plans offer two forms of benefit: an overall 15% production tax credit, or an exclusion from sales and use taxes. The biggest benefit of all is the ability to receive tax credits in the form of cash if the production company owes no New Mexico income taxes. This program beats the Missouri program by having no caps, and by simplicity.

Additional Information

New Mexico continues to attract out-of-state production with effective incentives and a well-trained work force.

A press release from 2003:

Demand for New Mexico Film Crews Remains High
06/26/2003

For Immediate Release

Contact:
Cathy Ann Connelly
Director of Communications
(505) 476-3747

The New Mexico Economic Development Department (NMEDD) and the New Mexico Department of Labor (NMDOL) and the International Alliance of Theatrical Stage Employees (IATSE) Local 480 announce their advanced training for existing New Mexico Film Production crew members – “The Media Industries Workforce Training Program”. This new partnership, established during the 2003 Legislative Session, provides classes sponsored by the NMDOL using funding available under the Workforce Investment Act of 1998 (WIA).

“New Mexico has had a 300% increase in film production inquiries since the beginning of this year. We’ve had the strong back to back production schedules for films, and New Mexico finds itself with a shortage of crew members,” said Secretary Rick Homans, New Mexico Economic Development Department.

“Before, we can take advantage of scheduling more films simultaneously, we’ve got to increase the number of professional local crews for film production companies working in the state,” says Rick Homans, Secretary of Economic Development. With the recent passage of film production incentives “our long term goal is to provide an environment capable of sustaining a permanent local film industry which will provide long term jobs for our film professionals.”

The New Mexico Department of Labor will coordinate training programs and help fund the classes. Conroy Chino, the Labor Department Secretary said, “We are excited to be partnering with the Economic Development Department.” He went on to note, “Not only can we offer funding for training, we also bring to the table expertise in compliance with labor regulations. From our end, it’s all about improving job skills and wage earning capacity for New Mexico workers.”

Currently, the program has launched three pilot classes which have covered the areas of Script Supervision, Dolly Grip and Crane Operation, and Hairdressing for Film, with more classes being developed. The union will certify graduates of the classes as having fulfilled part of the requirements to join the union and enter the work force.

Participants will then also be eligible for hire by participating film and television companies through the Economic Development Department’s In-Plant Training Program. A film component to this program allows productions to be reimbursed 50% of trainees work for up to 1,040 hours of work. The New Mexico Legislature appropriated 1-million dollars for the program.

The Film Industry is becoming a larger part of the job market in New Mexico because the incentives passed by the New Mexico Legislature over the past two years have made it much more financially attractive for production companies to work here. NMDOL is working to reclassify many technical film jobs as ”Occupations in Demand” in New Mexico. In order to do that, they must certify that the New Mexico film workforce is growing and film jobs are in high job demand. This certification triggers a funding flow for additional training programs that can be provided to WIA participants by Local Area Workforce Development Boards.

“It is absolutely necessary for us to have trained, ready professionals in the community who are prepared to work on the influx of film productions we are seeing as the producers respond to our financial incentives,” says Frank Zuniga, Director of the Film Office. “We need producers to know that we have highly qualified crews in sufficient numbers, capable of handling all of their technical needs.”

Budget	Savings	Incentive
$10,000,000	50% up to $1,000,000	Film Production Tax Credit
Total Savings:	$1,000,000	(If available due to cap)
	$0 if in state production

Budget	Savings	Incentive
$10,000,000	15% > $8,000,000	Film Investor Tax Credit
	$1,500,000
	20% > $1,000,000	Labor Tax Credit
	$80,000
	4% (Current Rate)	Sales and Use Exemption
	(Not Measurable)
Total Savings:	$1,600,000 +

Budget	Savings	Incentive
$10,000,000	15%	Film Production Tax Credit
	$1,500,000
Total Savings:	$1,500,000	Received in Credits or Cash

$10,000,000	5% (Current Rate)	Sales and Use Exemption
	(Not Measurable)
Total Savings:	(Not Measurable)	Production Specific

Budget	Savings	Incentive
$50,000,000	50% up to $1,000,000	Film Production Tax Credit
Total Savings:	$1,000,000	(If available due to cap)
	$0 if in state production

Budget	Savings	Incentive
$50,000,000	15% > $8,000,000	Film Investor Tax Credit
	$7,500,000
	20% > $1,000,000	Labor Tax Credit
	$400,000
	4% (Current Rate)	Sales and Use Exemption
	(Not Measurable)
Total Savings:	$8,000,000 +

Table of Contents

Program Caps

Qualification

Assignability

Reservation

Delivery

Time

Program Caps

Assignability

Reservation

Delivery

Benefit

Time

Program Caps

Assignability

Reservation

Delivery

Benefit

Time

Program Caps

Assignability

Reservation

Delivery

Benefit

Time

Program Caps

Assignability

Reservation

Delivery

Benefit

Time

Program Caps

Assignability

Reservation

Delivery

Benefit

Missouri

Louisiana

New Mexico

Missouri

Louisiana

New Mexico