The bill modifies New Jersey's film and digital media content production tax credit program by increasing the tax credit percentages for various taxpayers, specifically raising the credit for New Jersey studio partners to 40%, for film-lease production companies to 35%, and for other taxpayers to 30%. It introduces an additional 4.5% tax credit for television series that relocate to New Jersey, applicable for productions starting on or after July 1, 2025, and establishes new requirements for digital media production, including a minimum expenditure of $2 million on services from New Jersey vendors and a stipulation that at least 50% of expenses must be for wages paid to New Jersey employees. The bill also allows for the transfer of tax credits between taxpayers and sets cumulative limits on the total tax credits available, increasing the total available for New Jersey studio partners and film-lease production companies over the coming years.

Additionally, the bill amends definitions related to film production, including expanding the definition of "New Jersey film-lease production company" and introducing new terms such as "New Jersey film-lease post-production company." It establishes criteria for designating production facilities and outlines conditions for recapturing tax credits if companies fail to meet qualifications. The bill also revises the definition of "film" to include ongoing television productions while excluding certain types of events, and it clarifies the treatment of various expenses, including script costs. Overall, the bill aims to enhance New Jersey's attractiveness as a filming location by providing clearer guidelines and increased financial incentives for film and digital media production.

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