This bill amends the Film and Digital Media Tax Credit Program in New Jersey to enhance tax credits for film production and digital media content production expenses. It establishes a tiered tax credit system where New Jersey studio partners can receive a 40% credit, film-lease production companies a 35% credit, and other taxpayers a 30% credit, contingent upon meeting specific criteria such as utilizing New Jersey vendors and including promotional materials for the state. The bill also introduces a tax credit transfer certificate, allowing taxpayers to sell or assign their credits, and sets cumulative limits on the total value of tax credits available, including caps of $100 million for general taxpayers and $150 million for New Jersey studio partners and film-lease production companies in certain fiscal years.

Additionally, the bill outlines new requirements for studio partners regarding the occupancy of production facilities, mandating a minimum commitment period of ten years. It specifies that tax credits can be recaptured if a studio partner fails to meet this occupancy requirement, with certain exceptions. The legislation also introduces a pre-certification process for eligible projects, requires independent verification of tax credit claims, and clarifies definitions related to film production. Overall, the bill aims to incentivize film and digital media production in New Jersey while ensuring compliance and accountability in the distribution of tax credits.

Statutes affected:
Introduced: 54:10A-5.39, 54A:4-12, 52:18A-263
Advance Law: 54:10A-5.39, 54A:4-12, 52:18A-263
Pamphlet Law: 54:10A-5.39, 54A:4-12, 52:18A-263