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Incentives

Production Incentives Database

Incentive Type Non-Transferable Refundable Tax Credit
Spend 25-27%
Above the Line Residents 25-27%
Above the Line Nonresidents 25-27%
Below the Line Residents 25-27%
Below the Line Nonresidents 25-27%
Bonus 2% for qualified TV series, including pilots or miniseries
Project Criteria $250,000 minimum instate spend; 50% of total principal photography days must be filmed in Maryland.

For "Maryland Small or Independent Film Entities"- $25,000 minimum instate spend; 50% of total principal photography days must be filmed in Maryland. But the project cap is reduced to $125,000
Loanout Registration Required No
Loanout Withholding No
Annual Funding Caps $14,000,000
Project Caps 8000000
Minimum Spend $250,000
Sunset Date 06/30/2023
Audit Requirements
An independent, third-party CPA Agreed-Upon-Procedures report is required by a CPA licensed in Maryland.
Getting Started
Prior to beginning any film production activity in the Maryland submit a completed Application for Preliminary Tax Credit Certification with the required attachments including the Application Addendum to the Department of Business & Economic Development (DBED); begin principal photography within 120 days after issuance of the Preliminary Tax Credit Certificate or Letter of Intent from DBED.
Screen Credit Required
Yes
Company Registration
No
Sales Use Tax Relief
Yes
Hotel Occupancy Tax Relief
No
Local Vendors Qualify
Yes
Outside Vendors Qualify
No
Claiming Incentive
Complete principal photography within 45 days after the wrap date specified in the Application for Preliminary Tax Credit Certification; submit an Application for Final Tax Credit Certification with all required final documentation within 180 days after the production wrap date.
Additional Information
salary, wages, and other compensation including related benefits paid to writers, directors, and producers- NO LONGER Qualify

Compensation Cap: an individual who receives more than $500,000 for personal services in connection with the film production activity will not qualify.


FISCAL YEAR 2021, $14,000,000;
FISCAL YEAR 2022, $17,000,000;
FISCAL YEAR 2023 AND EACH FISCAL YEAR THEREAFTER, $20,000,000.

The Secretary will allocate 10% of the total amount of credits for each fiscal year to put towards projects for "Maryland Small or Independent Film Entities".

“MARYLAND SMALL OR INDEPENDENT FILM ENTITY”
Is defined as a qualified production company that;
(I) has been incorporated in MD for at least 1 year
(II) is independently owned and operated;
(III) is not a subsidiary of another entity
(IV) is not dominant in its field of operation
(V) employs 25 or fewer full time employees
(VI) employs MD residents as at least 40% of its workforce in the film industry

Last updated: 05/31/2018

Production Incentive Disclaimer
The encapsulated production incentive information on this page is provided for general purposes only and should not be construed as tax advice. While we do our utmost to keep all information up to date, production incentives change often. The best source for incentive details is the film office itself. For more explanation or detail about the production incentive described here, please contact our resident production incentives expert at [email protected].