The Kansas Film and Digital Media Production Development Act is designed to enhance the film, video, and digital media production industry in Kansas by providing income tax credits and sales tax exemptions for eligible productions, which include feature films, documentaries, and video games that incur at least $50,000 in qualified expenses. The bill outlines the application process for production companies, requiring them to submit evidence of financing and project details to the Secretary of Commerce, who will assess the project's economic impact before granting approval. The act emphasizes the importance of hiring Kansas residents and using local vendors to foster economic growth within the state.

Key amendments in the bill include a reduction of the maximum aggregate amount of tax credits from $10,000,000 to $5,000,000 per tax year, with 10% of this amount specifically reserved for Kansas-based production companies. Additionally, the bill establishes a timeline for the incentive program, stating that no tax credits or exemptions will apply to expenditures made after January 1, 2035. The legislation also introduces provisions for tax compliance and project completion documentation, as well as penalties for non-compliance, ensuring accountability in the use of tax incentives. Overall, the bill aims to streamline the tax exemption process while promoting the growth of the film and digital media sector in Kansas.

Statutes affected:
As introduced: 79-3606
As Amended by Senate Committee: 79-3606