The Tax Landscape for Film Production: An Exploratory Study

• In Event: Tax Policy and Research

Abstract

Over the last decade, the tax landscape for U.S. film production has been in flux. Film production became a subject of tax interest after Congress enacted I.R.C. § 181, a deduction for qualified film production costs and after individual states began offering lucrative tax incentives, both initiatives designed to make film production in the U.S. more attractive. Recently, some states have reduced these incentives and I.R.C. § 181 expired at the end of 2013 while international competition for film production has intensified. This paper provides an exploratory study of the tax and revenue implications for film production in light of these recent developments.

Authors

• Cheryl Crespi, Central Connecticut State University

• Marie G Kulesza, St Joseph's College