- Type of Incentive
- 25%–27% Refundable Tax Credit
- Maximum Benefit
25% refundable tax credit (27% maximum with bonus).
Bonus: 2% for qualified TV series, including pilots or miniseries.
AS OF JULY 31, 2015: ALLTAX CREDITS HAVE BEEN RESERVED: NO APPLICATIONS OR LETTERS OF INTENT WILL BE ACCEPTED AT THIS TIME
- Compensation and Project Caps/ Funding Per Year
Program is administered on a first-come, first-served basis. However, priority given to returning episodic series. Contact Film Office for details.
Annual Cap: $7.5M (FYE 6/30/2015 and 6/30/2016).
Project Cap: None.
Comp Cap: $500K per individual and includes other comp such as per diem, housing, travel, meal, car, kit, relocation, etc. Credits not allocated during a fiscal year may be carried forward and issued for a subsequent fiscal year.
- What Qualifies
Total net costs incurred in Maryland that are necessary to carry out the film production activity, including resident and non-resident employee wages and benefits, fees for services, acquiring or leasing property, and any other expense necessary to carry out a film production activity (including insurance). Payments to out-of-state vendors qualify if services incurred or items used in MD.
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- Application Considerations
Production company registration is not required. An application and additional document forms must be submitted and a draft engagement letter must be approved before beginning any film production. Approval within 30 days. Principal photography must begin with 120 days of receiving approval/ letter of intent. Applications reserving tax credits will be accepted on a first- come, first-served basis.
- Application Considerations
CPA review/agreed-upon procedures required before final authorization of tax credit certificate from MD. Final applications and documentation must be submitted within 180 days of wrap date. If tax credit exceeds tax due for that taxable year, the excess will be refunded.
- Loan-Out Company Considerations
Withholding: Production companies are not required to withhold from loan-out companies. However, loan-outs are subject to all applicable MD laws, including withholding requirements. Production company must provide Film Office with list of loan-out companies paid in connection with the film activity.
- Crew Base Considerations
More than 650 IATSE members, more than 3K SAG members. Crew directory available.
- Is Mappable
- Has Incentive Program
- You Should Know
A television series shooting its first season in MD may submit an application for additional funding for the second season after 50% of principal photography for the first season is completed. Based on review of the application, future tax credits for the second season may be reserved.
- Screen Credit Required
- Project Criteria
Minimum spend = $500K; >= 50% of principal photography must be in-state.
Maryland Film Office | www.maryland.org
Jack Gerbes, Director | Phone: 410.767.6340 | email@example.com
- Sales and Use Tax Exemption
- TV Series
- Post Facilities
- Water Tank
- Big City
- Historical Architecture
- In-State Vendors
- Out-of-State Vendors
- Fringes Paid
- Taxes Paid
Qualified Compensation Expenditures
- Award Shows
- Feature Films
- Game Shows
- Interactive Media and Video Games
- Music Videos
- Reality Shows
- Scripted Shows
- Sporting Events
- Talk Shows
- Visual Effects
- Md. TAX-GENERAL Code Ann. § 10-730
These materials have been prepared by Entertainment Partners for informational purposes only and should not be construed as tax advice or relied on for specific projects. Though every effort has been made to remain current, laws and incentives change and, therefore, this information may have been revised. Please contact EP Financial Solutions or your legal or tax advisors to confirm any laws or the effect of incentives on your project.
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