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About the PA Film Production Tax Credit Program

In the summer of 2007, PA lawmakers passed legislation and the Governor signed into law Act 55 of 2007, the Pennsylvania Film Production Tax Credit Program.

Effective July 1, 2007, Pennsylvania provides a 25% Film Production Tax Credit for film production expenses incurred in the Commonwealth. The transferable tax credit is available for feature films, TV shows and series, and commercials intended for a national audience. In order to qualify for the tax credit, 60 percent of the total production expenses must be incurred in Pennsylvania. A qualified PA expense is production expense that is subject to PA taxes. There is no per project cap. Applications will be considered in the order in which they are received.

Pennsylvania is now accepting applications for projects that qualify for the Creativity in Film Tax Credit program.  Qualified projects will be awarded credits available under the $60 million tax credit allocation available for FY10-11 (the $42 million allocation of tax credits has been fully subscribed).

Applicants may apply for FY July1, 2010- June 30, 2011 tax credits at any time not more than 90 days prior to the start of principal photography; that is, projects may begin production prior to the commencement of that fiscal year.  However, tax credit certificates for such projects will not be awarded until the first day of FY2010-11 (July 1, 2010) or completion of all requirements for issuance of the tax credit, whichever is later. Further information is available from the Pennsylvania Film Office.

Appendix A: Enabling Legislation

STEP 1:  Single Application
Applicants must complete the online Single Application and provide the information and documentation as set forth in the NEW (as of 12/09) Film Tax Credit Guidelines. For help in completing the application, click here.

STEP 2: Film Tax Credit Application
Applicants must also complete the Film Tax Credit Application. Prior to sending the completed application, please attach a “budget top sheet” reflecting: total production expenses and qualified Pennsylvania production expenses, and a statement indicating whether financing for the project has been secured or will be secured prior to the planned start date of principal photography.

Also prior to mailing, a face-to-face or phone interview is required with the Director of the Pennsylvania Film Office. Applicants should contact the Film Office at 717-783-FILM.

STEP 3: Monthly Progress Report
Following your acceptance of a Film Tax Credit offer, from pre- to post-production, a Monthly Progress Report is due within five business days of the end of each month.

STEP 4: Acknowledgement & PA Film Office Logo
In each print and electronic version of the project, the end credits should include an acknowledgment of the support provided by the Pennsylvania Film Office and use of its logo.

• PA Film Office Logo(.eps)
• PA Film Office Logo(.jpg)

STEP 5: Audit and Economic Impact Report
Within 60 days of completion of the production, an Economic Impact Report Form must be submitted to the Pennsylvania Film Office. This report should be submitted simultaneously with your audit. Tax Credit certificates will not be issued until these reports are submitted and approved.

STEP 6: Film Tax Credit Sale or Assignment Application & Instructions
Tax Credits may be applied against tax liability under the following Pennsylvania taxes (under Articles III, IV or VI of the Tax Reform Code of 1971): Personal Income Tax (but not tax withheld by an employer from an employee); Corporate Net Income Tax; and Capital Stock and Franchise Tax. Refer to the Film Tax Credit Sale or Assignment Application and Instructions for more information.

Certificate of Authority (DOS)

Docketing Statement (DOS)

If you are shooting/working in the City of Philadelphia, CLICK HERE to download the Philadelphia Business Privilege Tax applicationTo view the Creativity in Focus application, you will need to download Adobe Acrobat Reader if it is not installed on your computer. Download Adobe Acrobat Reader

Filmmakers interested in taking advantage of the tax credit program should contact us and the PA Film Office with details as soon as possible so that we can put you in the queue.

For more information, please contact:
PA Film Office
Jane Saul, Director of the PA Film Office
Tel:  (215) 965-4603 
E-mail: jsaul@state.pa.us
http://www.FilminPA.com
http://www.newpa.com/programDetail.aspx?id=180

Fee-Free Locations

Filmmakers may be able to use Pennsylvania and Philadelphia owned property for location filming fee-free if the property can be made available during the period that the filmmaker requires. Costs incurred and liability insurance coverage, however, will be the responsibility of the production. Philadelphia also offers productions use of the Navy Yard Soundstage, the only municipally-owned sound stage in the country. Check with the Film Office for details.

Hotel Tax Exemption

Visitors staying 30 days or more in a hotel are not obliged to pay the PA hotel tax.

Police Assistance

The city of Philadelphia may provide up to two free police officers for traffic control and security as needed for filming activity, subject, however, to the discretion of the Greater Philadelphia Film Office, the Managing Director's Office and the Philadelphia Police Department. For further details, contact the Film Office.