I have been getting so many questions about what is happening in the film industry, where is the industry going and where things are being filmed.
That is a super loaded question! The industry is changing dramatically in attempt to keep up with technology. It has been a tough year for Hollywood, many box office bombs and a small handful of bock-busters! That being said, let's chat about where everything is being filmed in the US and why.
Georgia's is the next Hollywood peach! By January 2017, Pinewood Studios Georgia will be the LARGEST studios outside of LA and Georgia has a great tax credit program. Beyond expanding the actual studios, they are building an entire city (community) around them. Atlanta is currently tied with Louisiana for the No. 3 filming location in the world.
A recent study has put Georgia as the third largest film industry in the world only behind the United Kingdom. And with the recent BREXIT issues, expect Georgia’s film industry to only grow and "possibly" become the number #1 filmmaking location in the world. (many articles about this, some differ who will be #1 but all name Georgia in the top 3!) I personally think Hollywood will always be Hollywood and China will take over the market, especially now that China is offering credit incentives as high as 40% for co-productions... but that's yet another story!
As far as tax credits go: Hollywood also goes where its cheap and easy to film. Movie production incentives (Tax credits) are offered on a state-by-state basis throughout the United States to encourage in-state film production. These incentives came about in the 1990s because movie productions were fleeing to other countries such as Canada. I believe there are currently 26 states which currently have tax incentives for TV/FILM. (varies 26-30 depending on the year.)
That being said Louisiana, Georgia, Pennsylvania and West Virginia all have amazing tax credits. Puerto Rico also has a great tax incentive program but can be tricky to retrieve!
GEORGIA TAX CREDIT: (This is the boring bit, don't read unless you are curious! Otherwise skip to the end!)
20% transferable tax credit + 10% if production includes Georgia promotional logo in credits, or other negotiated placements.
$500,000 minimum spend through single or multi-projects in single year.
Compensation included for non-residents, $500,000 cap; however, PSC, loan out or 1099 contractor not subject to cap.
Nonrefundable, transferable once in tranches of at least $100,000 to multiple taxpayers.
Heightened scrutiny with regard to the use of “pass-throughs,” a GA vendor must have a physical operation and employees and must be engaged in procurement activities related to production expenditure. Travel agencies and insurance companies no longer have to be headquartered in GA, but must be Georgia businesses.
No required certification process, exposing buyers to potential recapture of credits once transferred. As a consequence, the market price for credits sold by independent producers (who are generally unable to provide a strong financial indemnification to buyers) has been significantly diminished relative to the market price of tax credits offered by studios or networks. However, the state now offers a “verification review” at a cost of $55/hr per state auditor (no final hard cost estimate, requires deposit based on budget). The results of the review are effectively non-appealable, but does insulate purchasers of verified credits from recapture. However, the reviews currently have a 6+ month backlog.
Payments to loan-outs (artistic or “core” production activities) subject to registration and 6% withholding payment to state. Withholding payment can be made by production company or payroll company.
Post production expenditures in GA may qualify only if processing footage shot in GA.
FYI: Transferable credits allow production companies that generate tax credits greater than their tax liability to sell those credits to other taxpayers, who then use them to reduce or eliminate their own tax liability. Refundable credits are such that the state will pay the production company the balance in excess of the company's owed state tax.
You can sell your tax credit through a broker or online.
TOLD YOU THAT WOULD BE BORING!!!! Georgia has a 5 star rating with tax incentives, combine that with Pinewood studios 361,000 square feet of sound stages, 175,000 square feet of office space, 185,000 square feet of workshop space and 267,500 square feet of vendor warehouses, for a total of 989,100 square feet by January and that's where its at baby!
You get the idea! So what's being filmed in Georgia now you ask? There are currently 41 TV shows and Movies being filmed in Georgia this month (October) Too many to post, here are a few! Finding Steve McQueen, Jumanji (also being filmed in Hawaii) Married to Medicine, 24, MacGyver, Avengers: Infinity Wars (Mary Lou Part 1 & 2), Spider-Man, The Leisure Seeker, The Originals, The Walking Dead, The Vampire Diaries, Underground, The Immortal Life Of Henrietta Lacks, Superstition: Final Chance (The creator of the Final Destination series is launching a new film franchise called Superstition.) Diary of a Wimpy Kid: The Long Haul, Burden, 38. Also, the last three Marvel movies were filmed in Atlanta with another three movies coming soon. (That is all I can think of off the top of my head)
You get the idea! Georgia's hot, and if you are an actor hungry for work, you should get an agent with a Georgia/Louisiana connection because there are casting calls everyday for major motion picture and TV series!