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EP Sponsored Women in Film (WIF) in Park City 2012

EP Incentive Solutions Update Available

EP Incentive Solutions Update Available

W-2 Hotline Now Active

Joseph Chianese Moderated 411 Publishing Webinar on Post Production Incentives

PRODUCTION INCENTIVES

RECENT UPDATES - March 2, 2010

Loan-Out Considerations: Payments to a loan-out corporation (includes independent contractors performing production services), rather than to an individual employee, may qualify for the film credits, even in cases in which the withholding is performed by a payroll service company; however, in such cases, the payroll service company (as opposed to the production company) must register to withhold prior to the production company files for an application for the credit and perform withholding through the Department’s motion picture production company withholding system pursuant to 830 CMR 62B.2.3. In addition, there is a requirement that the production company, loan-out, and the individual(s) performing services under the loan-out provide an accounting and allocation of the withholding amounts on payments to the loan-out from the production company. Lastly, the loan-out and individual(s) performing the services under such loan-out must properly file Massachusetts tax returns and pay taxes accordingly.

Application Considerations: Fee = 0.50% of estimated value of credit up to a maximum of $10,000; submit initial application (response within 60 days); independent CPA must submit detail of eligible production expenditures and certify its accuracy prior to the issuance of a tax credit certificate

Compensation Caps: No per project cap; $7,500,000 annual funding cap for the OPIF effective October 1, 2009; approximately $5,000,000 available as of February 2, 2010 (10% labor and 20% local goods/services rebate); no annual funding cap for 6.2% GOLR