State Senate proposal would expand state's film tax credit
What happens to unused film tax credits in Pennsylvania?
Currently, they don’t carry over to the next year.
Sen. Wayne Fontana, D-Allegheny County, hopes to change that.
He has a proposal — Senate Bill 1313 — that would provide flexibility so that unused credits could be awarded by the state Department of Community and Economic Development to new productions the following year.
The amount of reissued credits would not apply to the state’s annual $60 million cap, which is not changing under this proposal.
If it were currently in place, the law would provide nearly $22 million more in credits to attract film and television productions to Pennsylvania this year, Fontana said.
Tax credit programs for film production are offered in 38 states. This bill would help the commonwealth remain competitive in the film industry, Fontana said.
“It has helped inject more than $1 billion directly into Pennsylvania’s economy, generating an estimated $1.8 billion in total economic activity and supporting nearly 14,500 jobs,” he said of the program.
Sen. Majority Leader Dominic Pileggi, R-Chester County, has a bill in the Senate Appropriations Committee that would uncap the program in Pennsylvania, which would create even more flexibility for the DCED.
About a dozen other states — including Connecticut, Georgia, Louisiana, Massachusetts, and North Carolina — have uncapped film production tax credits.