Page 1 of 2 148.544 Purposes of KRS 141.383 and 148.542 to 148.546 -- Kentucky Film Office -- Eligibility for refundable motion picture or entertainment production tax <br>incentives -- Incentives available. (1) The purposes of KRS 141.383 and 148.542 to 148.546 are to: (a) Encourage the film and entertainment industry to choose locations in the Commonwealth for the filming and production of motion picture or <br>entertainment productions; (b) Encourage the development of a film and entertainment industry in Kentucky; <br>(c) Encourage increased employment opportunities for the citizens of the Commonwealth within the film and entertainment industry; and (d) Encourage the development of a production and postproduction infrastructure in the Commonwealth for film production and touring Broadway show <br>production facilities containing state-of-the-art technologies. (2) The Kentucky Film Office is hereby established in the Tourism, Arts and Heritage Cabinet to administer, together with the Finance and Administration Cabinet and <br>the Tourism Development Finance Authority, the tax incentive established by KRS <br>141.383 and 148.542 to 148.546. (3) To qualify for the tax incentive provided in subsection (4) of this section, the following requirements shall be met: <br>(a) For an approved company that films or produces a motion picture production, except for a commercial or documentary, the minimum combined total of <br>qualifying expenditures and qualifying payroll expenditures shall be five <br>hundred thousand dollars ($500,000); (b) For an approved company that films or produces a commercial in the Commonwealth that is distributed regionally or nationally, the minimum <br>combined total of qualifying expenditures and qualifying payroll expenditures <br>shall be two hundred thousand dollars ($200,000); and (c) For an approved company that films or produces a documentary in the Commonwealth or that produces a national touring production of a Broadway <br>show, the minimum combined total of qualifying expenditures and qualifying <br>payroll expenditures shall be fifty thousand dollars ($50,000). (4) (a) The incentive available under KRS 141.383 and 148.542 to 148.546 is a refundable credit against the Kentucky income tax imposed under KRS <br>141.020 or 141.040, and the limited liability entity tax imposed under KRS <br>141.0401, as provided in KRS 141.383. The amount of the incentive shall not <br>exceed: <br>1. Twenty percent (20%) of the approved company's qualifying <br>expenditures; 2. Twenty percent (20%) of the approved company's qualifying payroll <br>expenditures paid to below-the-line production crew; and 3. Twenty percent (20%) of the approved company's qualifying payroll <br>expenditures paid to above-the-line production crew not to exceed one Page 2 of 2 hundred thousand dollars ($100,000) in payroll expenditures per <br>employee. (b) 1. The Tourism Development Finance Authority may accept applications, <br>authorize the execution of tax incentive agreements, and enter into tax <br>incentive agreements beginning on June 26, 2009; however, no credit <br>amount shall be claimed by the taxpayer as a refund or paid by the <br>Department of Revenue prior to July 1, 2010. 2. The credit shall be available to approved companies with tax incentive <br>agreements executed before January 1, 2015. Effective: June 26, 2009 <br>History: Created 2009 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 44, effective June 26, 2009.
Page 1 of 2 148.544 Purposes of KRS 141.383 and 148.542 to 148.546 -- Kentucky Film Office -- Eligibility for refundable motion picture or entertainment production tax <br>incentives -- Incentives available. (1) The purposes of KRS 141.383 and 148.542 to 148.546 are to: (a) Encourage the film and entertainment industry to choose locations in the Commonwealth for the filming and production of motion picture or <br>entertainment productions; (b) Encourage the development of a film and entertainment industry in Kentucky; <br>(c) Encourage increased employment opportunities for the citizens of the Commonwealth within the film and entertainment industry; and (d) Encourage the development of a production and postproduction infrastructure in the Commonwealth for film production and touring Broadway show <br>production facilities containing state-of-the-art technologies. (2) The Kentucky Film Office is hereby established in the Tourism, Arts and Heritage Cabinet to administer, together with the Finance and Administration Cabinet and <br>the Tourism Development Finance Authority, the tax incentive established by KRS <br>141.383 and 148.542 to 148.546. (3) To qualify for the tax incentive provided in subsection (4) of this section, the following requirements shall be met: <br>(a) For an approved company that films or produces a motion picture production, except for a commercial or documentary, the minimum combined total of <br>qualifying expenditures and qualifying payroll expenditures shall be five <br>hundred thousand dollars ($500,000); (b) For an approved company that films or produces a commercial in the Commonwealth that is distributed regionally or nationally, the minimum <br>combined total of qualifying expenditures and qualifying payroll expenditures <br>shall be two hundred thousand dollars ($200,000); and (c) For an approved company that films or produces a documentary in the Commonwealth or that produces a national touring production of a Broadway <br>show, the minimum combined total of qualifying expenditures and qualifying <br>payroll expenditures shall be fifty thousand dollars ($50,000). (4) (a) The incentive available under KRS 141.383 and 148.542 to 148.546 is a refundable credit against the Kentucky income tax imposed under KRS <br>141.020 or 141.040, and the limited liability entity tax imposed under KRS <br>141.0401, as provided in KRS 141.383. The amount of the incentive shall not <br>exceed: <br>1. Twenty percent (20%) of the approved company's qualifying <br>expenditures; 2. Twenty percent (20%) of the approved company's qualifying payroll <br>expenditures paid to below-the-line production crew; and 3. Twenty percent (20%) of the approved company's qualifying payroll <br>expenditures paid to above-the-line production crew not to exceed one Page 2 of 2 hundred thousand dollars ($100,000) in payroll expenditures per <br>employee. (b) 1. The Tourism Development Finance Authority may accept applications, <br>authorize the execution of tax incentive agreements, and enter into tax <br>incentive agreements beginning on June 26, 2009; however, no credit <br>amount shall be claimed by the taxpayer as a refund or paid by the <br>Department of Revenue prior to July 1, 2010. 2. The credit shall be available to approved companies with tax incentive <br>agreements executed before January 1, 2015. Effective: June 26, 2009 <br>History: Created 2009 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 44, effective June 26, 2009.
Page 1 of 2 148.544 Purposes of KRS 141.383 and 148.542 to 148.546 -- Kentucky Film Office -- Eligibility for refundable motion picture or entertainment production tax <br>incentives -- Incentives available. (1) The purposes of KRS 141.383 and 148.542 to 148.546 are to: (a) Encourage the film and entertainment industry to choose locations in the Commonwealth for the filming and production of motion picture or <br>entertainment productions; (b) Encourage the development of a film and entertainment industry in Kentucky; <br>(c) Encourage increased employment opportunities for the citizens of the Commonwealth within the film and entertainment industry; and (d) Encourage the development of a production and postproduction infrastructure in the Commonwealth for film production and touring Broadway show <br>production facilities containing state-of-the-art technologies. (2) The Kentucky Film Office is hereby established in the Tourism, Arts and Heritage Cabinet to administer, together with the Finance and Administration Cabinet and <br>the Tourism Development Finance Authority, the tax incentive established by KRS <br>141.383 and 148.542 to 148.546. (3) To qualify for the tax incentive provided in subsection (4) of this section, the following requirements shall be met: <br>(a) For an approved company that films or produces a motion picture production, except for a commercial or documentary, the minimum combined total of <br>qualifying expenditures and qualifying payroll expenditures shall be five <br>hundred thousand dollars ($500,000); (b) For an approved company that films or produces a commercial in the Commonwealth that is distributed regionally or nationally, the minimum <br>combined total of qualifying expenditures and qualifying payroll expenditures <br>shall be two hundred thousand dollars ($200,000); and (c) For an approved company that films or produces a documentary in the Commonwealth or that produces a national touring production of a Broadway <br>show, the minimum combined total of qualifying expenditures and qualifying <br>payroll expenditures shall be fifty thousand dollars ($50,000). (4) (a) The incentive available under KRS 141.383 and 148.542 to 148.546 is a refundable credit against the Kentucky income tax imposed under KRS <br>141.020 or 141.040, and the limited liability entity tax imposed under KRS <br>141.0401, as provided in KRS 141.383. The amount of the incentive shall not <br>exceed: <br>1. Twenty percent (20%) of the approved company's qualifying <br>expenditures; 2. Twenty percent (20%) of the approved company's qualifying payroll <br>expenditures paid to below-the-line production crew; and 3. Twenty percent (20%) of the approved company's qualifying payroll <br>expenditures paid to above-the-line production crew not to exceed one Page 2 of 2 hundred thousand dollars ($100,000) in payroll expenditures per <br>employee. (b) 1. The Tourism Development Finance Authority may accept applications, <br>authorize the execution of tax incentive agreements, and enter into tax <br>incentive agreements beginning on June 26, 2009; however, no credit <br>amount shall be claimed by the taxpayer as a refund or paid by the <br>Department of Revenue prior to July 1, 2010. 2. The credit shall be available to approved companies with tax incentive <br>agreements executed before January 1, 2015. Effective: June 26, 2009 <br>History: Created 2009 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 44, effective June 26, 2009.
