Thursday, January 9, 2014

IBJ Reports Senator Trying to Revive State Filmmakers' Incentive

From the Indianapolis Business Journal:

Democratic Sen. Lonnie Randolph has kicked off what’s expected to be a multi-year effort to revive Indiana’s tax credit for film and TV production.

Indiana’s tax credit expired at the end of 2011, and the newly formed Indiana Media Production Alliance hopes to restore it. Glenn Pratt, president of the Indianapolis-based organization, said he didn’t expect to see any legislation pass during this year’s abbreviated session but will certainly get behind Randolph’s bill.

"If you look at various other states, there is huge potential for building a new industry in Indiana," Pratt said. "This is a long-term endeavor."

Senate Bill 39 provides for a tax credit of as much as 40 percent on production expenses in an economically depressed city or county, and 35 percent elsewhere. The previous credit was 15 percent.

The bill caps the state’s loss at $2.5 million per fiscal year, but the Legislative Services Agency predicted the fiscal impact would be much less, around $240,000 a year after 2015, based on claims under the previous credit.

The credit was used three times between July 2008 and December 2011, according to the Indiana Economic Development Corp.