|Incentive Type||Transferable, Partially Refundable Tax Credit|
|Above the Line Residents||25%|
|Above the Line Nonresidents||25%|
|Below the Line Residents||25%|
|Below the Line Nonresidents||25%|
25% payroll credit: $50,000 minimum instate spend during a consecutive 12-month
25% production credit and a sales tax exemption: spend more than 50% of the total budget or film 50% or more of the principal photography days in Massachusetts.
|Loanout Registration Required||Yes|
|Loanout Withholding||Yes, 5%|
|Annual Funding Caps||None|
1) Payroll expense credit
2) Production expense tax credit
3) Sales tax exemption
Apply to the Department of Revenue for a Sales Tax Exemption prior to making purchases in Massachusetts.
Massachusetts tax credits can be cashed out with the Commonwealth of Massachusetts at 90% of face value after satisfying tax liabilities, or can be transferred at market rate.
Credit has a carry forward of 5 years
A Loan-Out Affidavit/Allocation Form must be completed for each artist loan-out company.
Multiple episodes of a television series or multiple commercials for the same client may be aggregated to qualify for the tax credit.
The 12-month qualifying period must be the same for sales tax exemption and tax credits; the qualifying period can cross taxable years.
Last updated: 01/23/2020
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].