Cuomo Extends, Expands NY Film & TV Post Production Tax Credit
New York is looking better and better as a location for film and television post production, with the recent expansion and five-year extension of the Empire State Film Post Production Tax Credit, originally signed into law by Governor Andrew M. Cuomo in July of 2012.
Click for more info and to apply!
According to news announced on Friday by the Post New York Alliance (PNYA), the program will see significant amendments as part of the 2013-2014 budget for New York State, including an $18 million increase in the annual funds allocated specifically to the post production incentive, a five-year extension of the incentive program to the year 2019 and more attractive qualifying standards for film projects being shot and/or completed in New York.
All of the amendments will apply to current and future applications to the incentive program, effective once the budget is signed into law.
The credit encourages film and television productions shooting anywhere in the U.S. or the world to bring their projects to New York for post production services. Any project ready to commit 75% of its post production costs to being performed in NYC is eligible for a fully-refundable tax credit of 30% of those costs. The credit increases to 35% for post production work performed in upstate New York (north of the MTA line).
Previously, the Empire State Production Tax Credit had allocated $7 million of the program’s $420 million budget for post production credits, and was set to run through 2014. This credit has reportedly made a difference in the NYC post business, which prior to the incentive used to lose significant post production work on projects shot in NY to other markets like Los Angeles and Toronto, never mind all the post work related to productions outside of the NY area. Now, under the terms of the new budget, the annual allocation will be increased to $25 million (of the $420 million production tax credit program) for eligible post production services beginning in 2015.
“The tax credit program has already been attracting new productions to New York, which means more investment in the state and more jobs for New Yorkers,” said Yana Collins Lehman, PNYA co-founder and executive board member. “By extending the tax incentive program until 2019, Governor Cuomo has committed to creating and nurturing greater opportunities for post production professionals throughout New York State.”
In addition to allocating a larger portion of funds to the post only incentive program and extending the program, the new budget stipulates more favorable qualification terms for film and television projects thinking of shooting and/or posting in New York.
While prospective applicants must still spend 75%of their project’s total post production budget in New York in order to qualify for the post-only tax credit, the new budget stipulates a new and separate threshold of the lesser of $3 million or 20 percent of the total visual effects and animation spend in New York to qualify. The lower threshold makes it easier for films with larger visual effects and animation budgets to qualify for the program. Additionally, the post only incentive now applies to post services on animated features and TV programs.
The Governor’s 2013 budget also removes the 75% post-spend threshold for productions shooting in the city or state. Productions that qualify for an Empire State Film Production Tax Credit are now entitled to the 30% tax credit on any and all post production services completed here.
However, much of the work happening in NYC is still not covered in this incentive program. The only eligible productions are feature films, episodic television series, “television pilots and presentations”, and television movies and miniseries. That excludes documentaries, news or current affairs programs, interview or talk shows, instructional videos, sport shows or events, daytime soap operas, reality programs, commercials, and music videos.
For more information and to apply for the tax credit, visit http://www.nylovesfilm.com/tax/postProduction.
Michael Silver
April 1, 2013 at 4:34 pm (12 years ago)Cuomo had to take his bar exam 5 times… how is it possible that he can effectively decide these issues? We experienced the demise of 39,453 NY state businesses last year, Cuomo is raiding $1.75 billion from the reserves of the off-budget State Insurance Fund (SIF). Coumo can not even hold on to his democratic majority. The distance between Cuomo and New Yorkers he is supposed to represent continues to broaden. He has disenfranchised the Northern and Western part of New York with his SAFE Act.. He can’t make a decision, either way with respect to fracking. New York has the highest taxes in the nation. It is ranked as the least “business-friendly” state in the country. NY State politicians wish to legislate what we eat and drink.
NY State under Cuomo Governorship:
570 jobs lost-Sikorsky Aircraft-closed
174 jobs lost -Dal-Tile Corp-closed
592 jobs lost- Archcare Inc-closing
375 jobs lost- Ralcorp- closing 2 plants
84 jobs lost- Vette Thermal Solutions – moving to NH
350 jobs lost -Daikin McQuay-moving Auburn plant to Tennessee
86 jobs lost-Oberdorfer foundry in DeWitt, NY is closing in May65 jobs lost – Advanced Monolythic Ceramics in Olean – moving to CA
35 jobs lost-Bombardier Mass transit – closing
50 jobs lost-Spectrum Plastics – closing
160 jobs lost-Menands company (Albany International) – moving to NH by end of 2013
Remington considering relocating out of NY
Eddie
April 1, 2013 at 10:00 pm (12 years ago)So i take it manipulating the Market is alright, just as long as our trusty Government does it, pulling what ever strings they see fit. Does anyone know what happens when Government gets involved in the Market? Does anyone know about Corporatism, Crony Capitalism, and so on? Allow the Market to be the Free Market. We can bail out the Banks, the Auto Industry so why not bail out the Entertainment Industry, right?
TrustMeI'mAScientist
April 25, 2013 at 10:20 am (11 years ago)Without government: property laws, currency, etc., there are no markets. The very concept if an entirely “free” market is a myth. Their relative levels of freedom are of degree only.
Eddie
April 1, 2013 at 10:02 pm (12 years ago)Also, this is the same sucker who wants to disarm citizens, however that is another issue. When seconds matter, the cops are only minutes away.
Eddie
April 1, 2013 at 11:03 pm (12 years ago)So let me get this right, New York has very high taxes on business and now the State is offering to reduce the tax burden in the form of a credit on those certain business which are highly taxed to begin with. I have a brilliant idea! Why not lower taxes on these businesses in the first place. Does anyone still believe that Government can handle your money better then you? And folks wonder what drives businesses out of state. Socialism is clearly not working here.
TrustMeI'mAScientist
April 25, 2013 at 10:27 am (11 years ago)You clearly don’t live in New York City, do you? We live here because we choose to live here. We can move. We know the taxes are higher than average (7th highest in the country) but we have “voted with our feet” and choose to live here regardless.
Most if us love the services the city has to offer and think it’s worth the price tag. If you don’t like it, you don’t have to live here or do business here. You’re free to live wherever you like in this country. You’re also free to spread your myopic and overly partisan propaganda. But I’d prefer you keep it to yourself.
The people of NYC have spoken. We like our city. We’ve worked hard to make it this way. Save your breath for making a difference in your own.