The Hollywood Reporter Quotes Christopher Spicer on Battle for Film and TV Production Credits
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The Hollywood Reporter has quoted Akin Gump entertainment and media practice head Christopher Spicer in the article “Film and TV Tax Credit Battle Heats Up Across U.S.” The article reports that the competition between states for major studio projects has intensified, amid offers of significant tax credits in exchange for boosting local economies and spurring tourism.
According to the article, tax credits are generally offered in an amount equal to some percentage of qualified production expenditures. There are, however, instances when a producer does not owe any taxes in-state, and Spicer said credits in those instances can be transferred, typically yielding about 86 to 90 cents on the dollar. In some states, the tax credit is refundable, while in others, rebates or grants are offered.
Spicer said it’s also important not to focuses solely on the United States when looking for production credits. Canada, which began film production incentives in 1997, “is excellent,” he said, and he is also seeing “a ton” of U.K. and Ireland projects.
