Arizona Motion Picture Program Tax Incentives
The sun sets over the Arizona desert
In Arizona, the Motion Picture Production Program offers a tiered tax credit for post-production expenses which include editing, sound mixing, visual effects (VFX), and related services. Here are the key details:
Tiered Tax Credit:
15% credit for productions spending up to $10 million.
17.5% credit for expenditures between $10 million and $35 million.
20% credit for spending over $35 million.
An additional 2.5% can be added for hiring Arizona residents.
Eligibility for Post-Production:
The tax credit extends to eligible post-production activities conducted within the state.
These activities include editing, sound mixing, and visual effects (VFX).
Eligibility Criteria:
The minimum spending requirement for post-production-only projects is $50,000.
For feature projects, the minimum spend requirement is $200,000.
The program caps at $75 million annually starting in 2023, increasing to $125 million by 2025.
Application Process:
Companies must apply for the credit through the Arizona Commerce Authority.
The application should be submitted before starting principal photography and includes a detailed process involving the submission of various documents to demonstrate eligibility and planned expenditures.
For more information or to begin the application process, productions should contact the Arizona Commerce Authority:
Email: matthewj@azcommerce.com
Website: Arizona Film & Media Incentives
Like with any tax incentive, it's crucial to consult with a tax advisor to ensure compliance with the latest regulations and to understand how these incentives could specifically benefit a project in Arizona.
