TAX NEWS - JUNE 2010

New tax breaks for Florida filmmakers

Starting on Wednesday, June 9th, filmmakers planning to shoot in the Sunshine State will be eligible to apply for much-needed tax relief under Florida's new Film and Entertainment Incentive Program, part of the $175 million 'Jobs for Florida' bill recently signed into law by governor Charlie Crist.

The bipartisan bill, CS/SB 1752, was sponsored by Republican state senator Don Gaetz of Destin and co-sponsored by Democratic Sen. Jeremy Ring of Margate. Primary sponsors in the House were Rep. Will Weatherford (R-Wesley Chapel) and Rep. Ellyn Bogdanoff (R-Fort Lauderdale). The bill was unanimously passed in both houses.  

Under the law, major film and TV productions that employ at least 50% of their production cast and below-the-line crew from Florida's talent pool could qualify for tax breaks of up to $8 million. Films and video games with family-friendly content would qualify for an additional 5% tax break. 

There's good news for low-budget indie filmmakers as well: under the law, small independent, digital, and emerging media productions could qualify for tax incentives of up to  $125,000.

The incentives apply to projects with a start date of July 1, 2010 or later, and are designed to attract production to the state while encouraging the use of Florida artists and technicians.

"With an unemployment rate worse than 12 percent, Florida families and Florida businesses are hurting," said Gaetz in a statement on his website. 'This package of incentives actually loosens government's grip on the private sector and gives companies solid reasons to stay in Florida, expand in Florida and come to Florida."

According to Gaetz, the bill will also require transparency in the way economic incentives are awarded and administered.

Applications on behalf of productions slated for fiscal year 2010/2011 will be accepted via electronic submission to the Office of Film and Entertainment beginning on Wednesday, June 9th at 12:00 noon EST. Additional details are available at the website.