Georgia Film Tax Credit for Craft Services and Catering
Are you filming a production in the state of Georgia? If so, you may qualify for the Georgia Film Tax Credit for the money you spend through Georgia approved Vendors!!
As a licensed vendor operating in the State of Georgia, we are able to provide all of our productions with the necessary paperwork to ensure your spend with us counts towards your ability to qualify for the state's tax credit incentive!
What makes Atlanta Craft Services unique is that your spend for both catering AND craft services will qualify for Georgia's tax incentives because we have the ability to handle both of these services for your production through a single licensed and approved entity.
Please find more information on Georgia's Film Tax Incentives below and also check out Georgia.org for complete details.
Highlights of the Program
20 percent base transferable tax credit
10 percent Georgia Entertainment Promotion (GEP) uplift can be earned by including an embedded Georgia logo on approved projects and a link to ExploreGeorgia.org/Film on the project's landing page
Both resident and non-resident workers’ payrolls and FICA, SUI, FUI qualify
Production expenditures must be made in Georgia from a Georgia vendor to qualify
No limits or caps on Georgia spend. No sunset clause
No salary cap on individuals paid by 1099, personal service contract or loanout
Payments made to a loanout company in 2021 will require 5.75 percent Georgia income tax withholding
Post production of Georgia-filmed movies and television projects qualifies if post done in Georgia
Development costs, promotion, marketing, story rights and most fees do not qualify
Eligible projects include: feature films; television films, pilots or series; televised specials; televised commercials; and music videos that are distributed outside of Georgia. The $500,000 annual minimum expenditure threshold can be met with one project or the total of multiple projects aggregated in a single tax year. Only production companies are eligible to apply. Production companies do not have to be incorporated or headquartered in Georgia or hold a Georgia bank account to qualify for the tax credit.
For a project to be eligible for the 20% transferable tax credit, the Georgia Department of Economic Development (GDEcD) must certify the project. Certification for live action projects will be through the Georgia Film Office. Certification may be applied for within 90 days of the start of principal photography but before the end of principal photography. The best time to submit the application is when the project is green-lit, fully funded and ready to open a production office.
Once the project meets the criteria for certification, the production company will receive a certification letter from GDEcD. The base certification letter will be awarded at the 20% level. For feature film, television films, pilots or series; televised specials, documentaries; and music videos the production company will receive an additional certification letter when the production company has distributed the project and met the 10% GEP Logo Uplift requirements. If the project does not begin filming within thirty (30) days of the date of the certification letter, amendments to the application must be made in writing to GDEcD. Projects eligible for the 10% Georgia Entertainment Promotion (GEP) Logo Uplift tax credit, which is a 10% uplift on the base tax credit earned for approved projects that include an embedded Georgia logo within the completed project as legislated in the Georgia Code Section 48-7-40.26, and a link to www.exploregeorgia.org/film on the project’s promotional website, or completes Alternative Marketing Opportunities of equal or greater marketing value to the State; that have been pre-approved by GDEcD , and will be commercially distributed in multiple markets within five (5) years from the date that the first Base Certification Letter issued. Both logo requirements and Alternative Marketing Opportunities must be for the life of the project, beginning with any public screening.
The decision, which is final, whether to include the GEP Logo or pursue the Alternative Marketing Opportunity must be made when the production company submits the 10% GEP Logo Uplift application. The GEP Logo cannot be used in a project without prior approval of GDEcD.
For the 10% Georgia Entertainment Promotion Logo Uplift certification to be awarded, the production company must submit a completed GDEcD-D form when the project is distributed.
Qualified expenditures include materials, services and labor. The credit applies equally for Georgia residents and non-residents. There is a salary cap of $500,000 per person, per production, when the employee is paid by “salary,” which is defined as being properly paid by W2. If the production company pays an individual for services as a loanout, as a personal services contract, or a 1099 individual meets the criteria for a loanout, in 2021 5.75% Georgia income tax must be withheld and remitted by the production company.
The income tax credit may be used against Georgia income tax liability or the production company’s Georgia withholding, or it can be sold or transferred to one or more Georgia taxpayers.
Once the base investment requirement has been met, the film tax credit can be claimed after the audit (if required) when a Georgia tax return is filed. Attach the following to the Georgia tax return:
The certification letter
Description of qualified production activities and expenditures proving the base investment has been met
A list of employees including names, Social Security numbers and Georgia wages
Completed GDOR FORM IT-FC
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