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Just to clarify, when you say LA you mean Louisiana, right?![]()
Regardless, these places are not going to become Hot spots. If anything they are simply contributing to the slight destabilization of established hot spots.
Apparently Michigan is currently the cheapest place to shoot right now. You get something like 40% of your budget back.
Sadly yes tax credits are expiring this december, but Governor Bobby Jindal is trying to keep it back up and going which is good.Sadly though, when the tax credits expire (this december)
I left because the quality of life there just isn't that great... a lot of racism, bigotry, "good ole boy" network type of stuff... its very conservative, very southern, very political... in fact....
Louisiana has a 25% tax credit. Michigan has a fully refundable tax credit, which effectively amounts to them writing you a check for 40% of your budget within 30 to 90 days of wrapping your production there.
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Spend a million bucks there, they'll write you a check for $400,000. It's a REFUNDABLE credit. I spent a long time on the phone with the Michigan State Film Commissioner trying to clarify it, because I basically refused to believe it, but after going round and round, this is the conclusion that she eventually forced through my skull. :thumbsup:
The tax credit is based off your total expenditures in Michigan (i.e., the money you spent to make the film, including salaries and travel and hotel expenses, as long as those are all bought and paid in Michigan.) Their program is to give you a credit for (actually up to) 42% of your total expenditures (depending on which community you shoot in, you may qualify for an extra 2% incentive.) But, being a tax credit, it's initially designed to be a way that you don't have to pay that portion of your state income taxes. Which is kind of lame, especially if you set up as an LLC or s-corp or other pass-thru entity which, in and of itself, wouldn't owe any state income taxes anyway (as I understand). So Michigan's program is a refundable tax credit: you can either take your credit as a credit against your taxes, or say "refund me now."
So the net effect is: if you spend $50,000 there, and all the expenses are audited and verified as being legitimately spent in Michigan, they'll refund you 40% of those expenses (which would be $20,000, which is 40% of your budget). Hotels, travel, salaries, equipment rentals, stage rentals, and I believe even postproduction services all qualify (but as I said before, anyone relying on this info should triple-check with the appropriate film office).