New York Budget Includes Higher Tax Incentives for FilmingNew York will increase its tax credit benefits to 15% and cover above and below-the-line costs, according to the 2008 state budget proposed by Gov. Eliot Spitzer on Jan. 22. The current tax credit offered to qualifying productions by the state is 10% and only covers below-the-line costs. Additionally, the proposed budget would raise the benefit cap from $60 million to $75 million by 2011. Should the proposed legislation pass the State Assembly, it would increase the current 10% offered to qualifying productions by the state by another 5%. Additionally, the benefit cap will rise from $60 million to $75 million by 2011. When the first New York state tax credit was signed into law in 2004, it activated piggyback legislation that allowed New York City to add on another 5% for qualifying productions. Should the state's legislation pass, the total amount of potential tax credit for a qualifying production could rise to 20% of above and below-the-line costs. The budget deadline for passage is April 1, but historically New York's State Assembly has been tardy with that date. |