senate Bill S1975A

Increases to 15% the amount of the empire state film production credit that can be taken against taxes administered by the city of New York

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 14 / Jan / 2011
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 04 / Jan / 2012
    • REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 05 / Jan / 2012
    • AMEND AND RECOMMIT TO INVESTIGATIONS AND GOVERNMENT OPERATIONS
  • 05 / Jan / 2012
    • PRINT NUMBER 1975A

Summary

Increases to 15% the amount of the empire state film production credit that can be taken against taxes administered by cities of one million or more; increases the aggregate of the credits which may be taken against such taxes.

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Bill Details

See Assembly Version of this Bill:
A4834A
Versions:
S1975
S1975A
Legislative Cycle:
2011-2012
Current Committee:
Senate Investigations And Government Operations
Law Section:
Tax Law
Laws Affected:
Amd §1201-a, Tax L; amd Part P §7, Chap 60 of 2004
Versions Introduced in 2009-2010 Legislative Cycle:
A229, A229

Sponsor Memo

BILL NUMBER:S1975A

TITLE OF BILL:
An act
to amend the tax law and chapter 60 of the laws of 2004 amending the tax
law relating to providing tax credits for certain costs incurred in film
and television productions, in relation to the amount of such credits
against taxes administered by cities of one million or more

PURPOSE:
To increase to 15.% the amount of the empire state film production
credit that can be taken against taxes administered by cities of one
million or more.

SUMMARY OF PROVISIONS:
Section 1. Subdivision (b) of section 1201-a of the tax law, as
amended by section 5 of part y of chapter 62 of the laws of 2006, is
amended to authorize any city with a population of one million or
more to adopt the Empire state film production tax credit acting
through its local legislative body and amend local laws to allow a 15
percent credit against the general corporation tax and the
unincorporated business tax.

Section 2. Subdivision (b) of section 7 of part p of chapter 60 of the
laws of 2004 amending the tax law relating to providing tax credits
for certain costs incurred in film and television productions, as
amended by section 2 of part y of chapter 62 of the laws of 2006,
amends the aggregate amount of tax credits allowed pursuant to the
authority of subdivision (b) of section 1201a of the tax law in any
calendar year shall be 30 million in 2006 through 2010, 37.5 million
in 2011, 42.5 million in 2012, 45 million in 2013 and 2014, and $55
million in 2015.

JUSTIFICATION:
New York's film tax credit is one of the most successful economic
development programs in recent history. Since New York State tripled
its own film production tax credit, film and television shooting days
are up 84 percent. These shoots employ more union actors and extras
than typical production days, and are thus a strong measure of the
broader employment impact of increased filming.

Since the initial credit was enacted, $600 million and over 6,000 new
jobs have been generated for the New York City's economy. This new
legislation would vastly expand on those results by tripling the
production credit from 5 percent to 15 percent. By joining the state
in this program, New York City can maximize the economic benefits for
our region at a time when the economy is struggling. Increased tax
credits would ensure that the recent growth in New York's film
production business continues, and that our economy receives a
much-needed boost at a sensitive time.

In addition, Screen Actors Guild officials note that New York State's
newly tripled credit, along with the City's initial credit, has
brought a significant number of previously uninsured actors into the
union-sponsored healthcare program.

PRIOR LEGISLATIVE HISTORY: None.


FISCAL IMPLICATIONS: To be determined.

EFFECTIVE DATE:
This act shall take effect immediately and applies to the taxable
years beginning on or after July 1, 2011 and shall apply to
applications filed on or after the date it becomes a law.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                 1975--A

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                            January 14, 2011
                               ___________

Introduced  by Sen. GIANARIS -- read twice and ordered printed, and when
  printed to be committed to the Committee on Investigations and Govern-
  ment Operations -- recommitted to the Committee on Investigations  and
  Government  Operations  in  accordance  with  Senate Rule 6, sec. 8 --
  committee discharged, bill amended, ordered reprinted as  amended  and
  recommitted to said committee

AN  ACT to amend the tax law and chapter 60 of the laws of 2004 amending
  the tax law relating  to  providing  tax  credits  for  certain  costs
  incurred in film and television productions, in relation to the amount
  of such credits against taxes administered by cities of one million or
  more

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision (b) of  section  1201-a  of  the  tax  law,  as
amended  by  section  5  of part Y of chapter 62 of the laws of 2006, is
amended to read as follows:
  (b) Empire state film production credit. Any city in this state having
a population of one million or more, acting through its  local  legisla-
tive body, is hereby authorized to adopt and amend local laws to allow a
credit  against the general corporation tax and the unincorporated busi-
ness tax imposed pursuant to the  authority  of  chapter  seven  hundred
seventy-two  of  the  laws  of nineteen hundred sixty-six which shall be
substantially identical to the credit allowed under section  twenty-four
of  this chapter, except that (A) the percentage of qualified production
costs used to calculate such credit shall be [five] FIFTEEN percent, (B)
whenever such section twenty-four references the state, such words shall
be read as referencing the city, (C) such credit shall be  allowed  only
to  a taxpayer which is a qualified film production company, and (D) the
effective date of such credit shall be July first,  two  thousand  [six]
EIGHT.    Such  credit  shall be applied in a manner consistent with the
credit allowed under subdivision thirty-six of section two  hundred  ten

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05753-02-1

S. 1975--A                          2

of  this chapter except as may be necessary to take into account differ-
ences between the general corporation tax and the  unincorporated  busi-
ness tax.
  S 2.  Subdivision (b) of section 7 of part P of chapter 60 of the laws
of  2004  amending  the  tax  law  relating to providing tax credits for
certain costs incurred in film and television productions, as amended by
section 2 of part Y of chapter 62 of the laws of  2006,  is  amended  to
read as follows:
  (b)  The  aggregate  amount  of  tax  credits  allowed pursuant to the
authority of subdivision (b) of section 1201-a of the  tax  law  in  any
calendar year shall be $12.5 million in 2004 and 2005 [and], $30 million
in  2006  through  [2011]  2010, $37.5 MILLION IN 2011, $42.5 MILLION IN
2012, $45 MILLION IN 2013 AND 2014, AND  $55  MILLION  IN  2015.    Such
aggregate  amount of credits shall be allocated by the mayor's office of
film, theater and broadcasting among  taxpayers  in  order  of  priority
based  upon  the  date  of  filing an application for allocation of film
production credit with such office. If the  total  amount  of  allocated
credits  applied for in any particular year exceeds the aggregate amount
of tax credits allowed for such year under  this  section,  such  excess
shall  be  treated  as  having  been applied for on the first day of the
subsequent year.
  S 3. This act shall take effect immediately  and  applies  to  taxable
years beginning on or after July 1, 2011 and shall apply to applications
filed on or after the date it becomes a law.

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