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Find production companies, locations services, film equipment and camera rental companies, post production companies, film crew, and many more production services for your commercial, TV or film production in Virginia, USA, including Falls Church, Richmond, Virginia, Great Falls and Glen Allen.

USA

Tax Incentives - Useful tax information for filming in Virginia, USA

Type of Incentive
15%–40% Refundable Tax Credit and Grant
Maximum Benefit

Two incentive programs:
Virginia Motion Picture Refundable Tax Credit: 15% refundable tax credit on all qualifying expenses.

Bonus 1: 5% if filming in an economically distressed area.

Bonus 2: 10% additional VA resident credit of resident payroll if spending between $250K to $1M locally OR 20% additional VA resident credit of resident payroll if spending more than $1M locally.

Bonus 3: 10% additional VA resident first-time industry employee credit for VA residents employed as first-time actors/members of production crew.

Governor's Motion Picture Opportunity Fund Grant: Discretionary.

Compensation and Project Caps/ Funding Per Year

This incentive program is not administered on a first-come, first-served basis. Projects receive priority and approval based on information contained in the application and other criteria.

Tax Credit: Funding is limited and decided by the VA Film Office based on project criteria.

  • Annual Cap: $2.4M.
  • Project Cap: None.
  • Comp Cap: $1M.

Grant: Approval is at the discretion of the Governor taking into consideration employment, investment, presence of any local commitment, and industry or company growth potential in VA.

  • Annual Cap: $250K.
  • Project Cap: None.
  • Comp Cap: $1M.
What Qualifies

Tax Credit: In-state expenses that generally include preproduction, production, and post-production expenditures, compensation for residents and non- residents (only the first $1M of salary is eligible), payments to local vendors including purchases and rentals, and costs associated with independent CPA's report. Not qualifying are development costs, marketing, promotion or distribution expenses, expenses incurred before pre- or after post-production, and out of state expenditures. For goods with a purchase price of $25K or more, the FMV of the goods at the completion of the production must be subtracted from purchase price to determine qualifying amount.

Grant: VA salaries/wages, renting, leasing, or purchasing VA-based goods and services, site fees, construction costs, soundstage rentals, film processing, and editing/post-production costs. NOTE: The grant is not intended to cover 100% of VA labor costs.

Sunset/Review
2018-12-31 00:00:00
Application Considerations

Both the tax credit and grant use the same application. Application must be submitted 30 days prior to principal photography. Complete an application online at filmvirginia.org. The Film Office will issue a certification letter indicating amount of funding the production is eligible to receive within 30 business days of submitting a complete application.

Tax Credit: All projects must be fully funded with a multi-market distribution contract, without taking into account the value of the tax credits, and be ready to begin production within 90 days of approval of the application.

Grant: 100% of financing must be in place at the time grant funding is requested.

Application Considerations

Tax Credit: Production company must file a Virginia tax return when filming is completed. Any pass-through entity that wishes to claim the credit at the entity level rather than allocating the credit to its individual owners must notify the VFO in writing at the time the final application is submitted. The tax credit will be paid to the production company approximately 60 days after the VA state tax form has been filed. If physical production goes over one calendar year, production company must file a report with the VA Film Office that verifies the progress of the production. No carry forward available, must use or refund the tax credit within the taxable year the production was completed.

Grant: Filing a VA tax return is not required. The check may be issued within approximately 30 days after all documentation has been received and verified. Physical production must commence within 12 months following the application submission.

Loan-Out Company Considerations

Registration: None.

Withholding: None.

Crew Base Considerations

Two deep statewide. Virginia is a right-to-work state

Is Mappable
No
Has Incentive Program
No
You Should Know

Hotel stays >= 30 days are also exempt from state sales tax and some local lodging taxes.

Screen Credit Required
No
Project Criteria

Tax Credit: $250K minimum qualified spend required and must make a best faith effort to film at least 50% of the principal photography in VA.

Grant: No minimum spend.

Commissioner

Virginia Film Office | www.film.virginia.org
Andy Edmunds, Director | Phone: 800.854.6233 | vafilm@virginia.org


Additional Benefit

Name
Sales and Use Tax Exemption
Name
Hotel Tax Exemption

Bonus

Area
0.05%

Cap

Annual
2400000
Annual
250000
Comp
1000000

Minimum Spend

Amount
250000
Fine Print
"Tax Credit"

Features

Soundstages
Yes
Post Facilities
Yes
Water Tank
No
Beach
No
Bridges
Yes
Big City
No
Desert
No
Mountains
Yes
Historical Architecture
Yes
Southern
Yes
Tropical
No

Expenditure

In-State Vendors
NA
Out-of-State Vendors
NA
Fringes Paid
NA
Taxes Paid
NA

Qualified Compensation Expenditures

Name
ATL
Summary Percentage
0.25
Range High
0.35
Residency
Res
Name
BTL
Summary Percentage
0.25
Range High
0.35
Residency
Res

Qualified Compensation Expenditures

Animation
Yes
Award Shows
No
Broadway
No
Commercials
Yes
Documentaries
Yes
Feature Films
Yes
Game Shows
No
Industrials
Yes
Infomercials
No
Interactive Media and Video Games
Yes
Music Videos
Yes
News
No
Post-Production
Yes
Reality Shows
Yes
Scripted Shows
Yes
Soundtrack
No
Sporting Events
No
Talk Shows
No
Trailers
No
Visual Effects
Yes
Webisodes
Yes

Proposed Legislation

Identifier
Va. Code § 58.1-439.12:03; §2.2-2320
Identifier
2014 Bill Text VA H.B. 5002A

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.

Copyright © 2019 Entertainment Partners. All Rights Reserved.