CALIFORNIA
The Franchise Tax Board has announced that it is developing procedures and forms for claiming the California Film and Television Tax Credit that will be allowable to offset state income and franchise tax liabilities for tax years beginning on or after January 1, 2011. Taxpayers can claim the credit after the California Film Commission issues a credit certificate. In lieu of claiming the credit against their income tax, a qualified taxpayer may make an irrevocable election to apply the credit amount against qualified sales and use tax liabilities
IOWA
The Iowa Department of Economic Development announced that it would award no additional film tax credits for the remainder of the fiscal year (6/30/2010), deciding to focus its resources on projects already approved and contracted.
MICHIGAN
The Michigan Department of Treasury (DOT) recently released an FAQ regarding when a film production credit may be claimed. The DOT has determined that an eligible production company must claim or assign a film production tax credit received pursuant to section 455 of the MBTA in the tax year in which the postproduction certificate, signed by the Film Commissioner, is issued by the Michigan Film Office.
Only for tax years beginning prior to December 1, 2009, will the DOT consider written requests from eligible production companies seeking exceptions to the policy expressed above in instances where the eligible production company can demonstrate significant hardship as the result of following the policy. The expressed policy will be adhered to for all tax years beginning on or after December 1, 2009, with exceptions granted only in instances where delay in issuance of the postproduction certificate is caused by an error of the Michigan Film Office or Department of Treasury.
Once eligible production companies have submitted their applications for a postproduction certificate, they should allow approximately 60 days for review of the application as provided in statute (MCL 208.1455(5)), assuming the application and required supporting documentation is complete and additional information is not required. If additional information is required, the review may take longer than 60 days.
IRS MILEAGE ALLOWANCE
Beginning January 1, 2010, the standard mileage rate will be 50 cents per mile. |
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