Tax incentives/rebates-- how much and where is best place to film?

Randall_Oelerich

Randall_Oelerich

Veteran
Where, national or international, is the best place to film an indie feature, to get the best 'rebate' (tax incentives, grants, etc) on a production budget? Say I raise $100,000 to make a very low budget indie, where would be the best place to do the production for getting some of that back from tax rebates and other incentives, and realistically how much of that $100,000 could I expect to get back after it is spent? It is bewildering to google and see all the docs with tables, often outdated, so i am hoping some here on dvxuser who have produced feature indies might have some realistic figure$ and wisdom to share. Thank you.
Randall
 
I think Louisiana, Georgia, and Montana have really good tax incentives now. Seems like every other day I read about a production in baton rouge.
 
I think the best place is to do it where you live... because you probably know people who can give you freebies that will equal an incentive... and even if you're promised an incentive to come there... it can be pulled... happened to me in TN... happened to a friend in Louisiana... to be safe... lets say you get the incentive... just say 10% for easy math...

But then again... I don't know where... Icewind Dale is...
 
In GA it kicks in at $500K and is pretty generous. Here is a link http://www.georgia.org/GeorgiaIndustries/Entertainment/AboutUs/Pages/Incentives.aspx
Just sales tax below that amount http://www.georgia.org/SiteCollectionDocuments/Industries/Entertainment/Sales and Use Tax Exemption/Highlight Sales Tax Exemption.pdf

Quite a few movies have been filmed here lately and no it not just spiders, gators and snakes. We have the Smoky Mountains, Atlantic beaches, rural farmlands, and swamps if you need gators and snakes.
 
I think here in Missouri it was 300k... not sure about Michigan... it maybe be any amount but they're still working on getting another 25m into their program... spoke to them last week... but you have to go on a waiting list... plus I'm not sure if the incentive % will be as high as it was before...
 
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Yeah, you aren't at a high enough budget level. In Tennessee I think it's about $250k.

In the "real" movie world (the one state film commissions care about) $250K BARELY rises to the level of "low budget", it's pretty much considered "no budget".

An "indie feature" is 1 $1 million to $2 million dollar movie.
 
You'll need to be at least 5k to get it anyway, but low budget usually means (as with above) a couple million. Once you hit that point that rebates make a huge difference; until then you don't get them, and even if you did the percentage is probably not worth it when you have to truck people and equipment too far.
 
Here's the list of all states, as compiled by the Screen Actor's Guild: http://www.sag.org/state-film-incentives

Prior to the revision, nothing compared to Michigan. Minimum spend of only $50,000 and they would give you 40% cash back. Not "refundable tax credits" or any such, it was a check from the treasury for 40% of what you spent (or 42% if you shot in certain communities). And the killer part was that you only had to spend $50k to qualify. But, the program's being changed and will likely be nowhere near as appealing going forward.

Right now Oklahoma probably has the best indie-friendly incentives program. Up to 37% rebate, and minimum budget is only $50,000 ($25k must be spent in Oklahoma).

Every program has restrictions and issues so you'll have to research each program to determine whether it's appropriate for you.
 
The lowest I have seen is a minimum spend of $250K in the state. MA and RI are 25% for example. Louisiana is 30% and and additional 5% if person hired is Louisiana native. Sign up here: http://www.tio1000.com/ for all the latest newsletters on incentives. They tend to change as states drop, modify, etc. to the plan. Also, some states only have so much monies allocated, so be sure there is some left if you apply with your production. But there is a minimum spend in all cases to qualify for the tax credit/incentive.

Michael
 
As some have mentioned, the rebates are an easy thing to apply for and get. Mostly they are trying to attract BIG films with million$ and million$ to inject into the local economy. They won't be jumping at the chance to help your $200,000 (or under) indie feature. What do they (the local state) gain? A couple of permits and some CL ads looking for local Grips for 100/day?

Sure Barry is right, and there can be smaller films who get the incentives, but I don't think they fund every film that walks through the door there just isn't that much to gain and these programs are already starring down the gun barrel of state budget cuts.

These state incentives are mainly designed for larger films, but if you can get one as a small fish, go for it. I liked an earlier response that said where-ever you are from. That was good advice. At really indie levels, it might be best to call on friends and family to help with locations, services and lodging. If you apply for state incentives, be prepared to film your film as an independent LLC, and start running the books like a real corporation having 100% transparency to that state you are seeking incentives from. It's no joke. Cutting corners gets mighty difficult with a state and film board looking at your every move, too.
 
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