2016 New York Laws
TAX - Tax
Article 1 - (Tax) SHORT TITLE; DEFINITIONS; MISCELLANEOUS
31*2 - Empire state film post production credit.

*   31.  Empire  state  film post production credit. (a) Allowance of
  credit. (1) A taxpayer which is a qualified film production company, and
  which is subject to tax under  article  nine-A  or  twenty-two  of  this
  chapter,  unless  eligible  for  the credit under section twenty-four of
  this article with respect to the qualified  film,  shall  be  allowed  a
  credit  against  such  tax,  pursuant  to  the  provisions referenced in
  subdivision (c) of this section to  be  computed  as  provided  in  this
  subdivision.
(2)  The  amount of the credit shall be the product (or pro rata share
  of the product, in the case of a member  of  a  partnership)  of  thirty
  percent  and  the qualified post production costs paid in the production
  of a qualified film at a  qualified  post  production  facility  located
  within  the  metropolitan commuter transportation district as defined in
  section twelve hundred  sixty-two  of  the  public  authorities  law  or
  thirty-five  percent and the qualified post production costs paid in the
  production of a qualified film at a qualified post  production  facility
  located elsewhere in the state.
(3) (i) A taxpayer shall not be eligible for the credit established by
  this  section  for  qualified post production costs, excluding the costs
  for visual effects and animation, unless the qualified  post  production
  costs,  excluding  the  costs  for  visual  effects  and animation, at a
  qualified post production facility meet or exceed  seventy-five  percent
  of  the  total  post  production  costs,  excluding the costs for visual
  effects and animation, paid or incurred in the post  production  of  the
  qualified  film  at  any post production facility. (ii) A taxpayer shall
  not be eligible for the credit established by this section for qualified
  post production costs which are costs for visual  effects  or  animation
  unless  the  qualified  post  production  costs  for  visual  effects or
  animation at a qualified post production facility meet or  exceed  three
  million dollars or twenty percent of the total post production costs for
  visual effects or animation paid or incurred in the post production of a
  qualified film at any post production facility, whichever is less. (iii)
  A  taxpayer  may  claim  a  credit  for  qualified post production costs
  excluding the costs for visual effects and animation, and for  qualified
  post production costs of visual effects and animation, provided that the
  criteria  in  subparagraphs  (i)  and  (ii)  of  this paragraph are both
  satisfied. The credit shall be allowed for the taxable year in which the
  production of such qualified film is completed.
(4) No qualified post production costs used by a  taxpayer  either  as
  the  basis  for  the  allowance  of  the  credit provided for under this
  section or used in the calculation of the credit provided for under this
  section shall be used by such taxpayer to claim any other credit allowed
  pursuant to this chapter.
(5) If the amount of the credit is at least one  million  dollars  but
  less  than  five million dollars, the credit shall be claimed over a two
  year period beginning in the first taxable year in which the credit  may
  be claimed and in the next succeeding taxable year, with one-half of the
  amount  of  credit  allowed being claimed in each year. If the amount of
  the credit is at least five million dollars, the credit shall be claimed
  over a three year period beginning in the first taxable  year  in  which
  the  credit may be claimed and in the next two succeeding taxable years,
  with one-third of the amount of the credit allowed being claimed in each
  year.
(6) For the period two thousand fifteen through two thousand nineteen,
  in addition to the amount of credit  established  in  paragraph  two  of
  subdivision  (a)  of  this section, a taxpayer shall be allowed a credit
  equal to the product (or pro rata share of the product, in the case of a
  member of a partnership) of ten percent  and  the  amount  of  wages  or

  salaries paid to individuals directly employed (excluding those employed
  as  writers,  directors,  music  directors,  producers  and  performers,
  including  background  actors  with  no  scripted  lines)  for  services
  performed  by those individuals in one of the counties specified in this
  paragraph in connection with the post production  work  on  a  qualified
  film  with  a  minimum  budget  of  five  hundred  thousand dollars at a
  qualified post production facility in one of the counties listed in this
  paragraph. For purposes of this additional credit, the services must  be
  performed  in  one  or more of the following counties: Albany, Allegany,
  Broome, Cattaraugus, Cayuga,  Chautauqua,  Chemung,  Chenango,  Clinton,
  Cortland,  Delaware,  Erie,  Essex, Franklin, Fulton, Genesee, Hamilton,
  Herkimer, Jefferson, Lewis,  Livingston,  Madison,  Monroe,  Montgomery,
  Niagara,   Oneida,   Onondaga,   Ontario,   Orleans,   Oswego,   Otsego,
  Schenectady, Schoharie, Schuyler, Seneca, St. Lawrence, Steuben,  Tioga,
  Tompkins,  Wayne, Wyoming, or Yates. The aggregate amount of tax credits
  allowed pursuant to the  authority  of  this  paragraph  shall  be  five
  million dollars each year during the period two thousand fifteen through
  two  thousand  nineteen  of  the annual allocation made available to the
  empire state film post production credit pursuant to paragraph  four  of
  subdivision  (e)  of section twenty-four of this article. Such aggregate
  amount of credits shall be allocated by the governor's office for motion
  picture and television development among taxpayers in order of  priority
  based  upon  the  date  of  filing an application for allocation of post
  production credit with such office. If the  total  amount  of  allocated
  credits  applied  for  under  this  paragraph  in  any  year exceeds the
  aggregate amount of  tax  credits  allowed  for  such  year  under  this
  paragraph,  such  excess  shall be treated as having been applied for on
  the first day of the next year. If the total  amount  of  allocated  tax
  credits  applied  for under this paragraph at the conclusion of any year
  is less than five million dollars, the remainder  shall  be  treated  as
  part  of the annual allocation for two thousand seventeen made available
  to the empire state film post production credit  pursuant  to  paragraph
  four of subdivision (e) of section twenty-four of this article. However,
  in  no event may the total of the credits allocated under this paragraph
  and the credits allocated under paragraph five  of  subdivision  (a)  of
  section  twenty-four  of this article exceed five million dollars in any
  year during  the  period  two  thousand  fifteen  through  two  thousand
  nineteen.
(b)  Definitions.  As  used  in this section the following terms shall
  have the following meanings:
(1) "Qualified film production company"  and  "qualified  film"  shall
  have  the  same  meaning  as  are  ascribed  to  such  terms  by section
  twenty-four of this article.
(2) "Post production costs" means production of original content for a
  qualified  film  employing  traditional,  emerging  and   new   workflow
  techniques   used  in  post-production  for  picture,  sound  and  music
  editorial, rerecording  and  mixing,  visual  effects,  graphic  design,
  original  scoring,  animation,  and  musical  composition; but shall not
  include the editing of previously produced content for a qualified film.
(3) "Post production facility" means  a  building  and/or  complex  of
  buildings  and  their improvements on which film are intended to be post
  produced.
(4) "Qualified post  production  facility"  means  a  post  production
  facility located in the state, engaged in finishing a qualified film.
(c)  Notwithstanding  any  other provision of law to the contrary, the
  aggregate amount of tax credits available under this section  shall  not
  exceed the amounts allowed pursuant to paragraph four of subdivision (e)
  of  section  twenty-four  of  this article and shall be allocated in the

  same manner as provided for in  paragraph  one  of  subdivision  (e)  of
  section twenty-four of this article.
(d)  Cross-references.  For  application of the credit provided for in
  this section, see the following provisions of this chapter:
(1) article 9-A: section 210-B: subdivision 32.
(2) article 22: section 606: subsection (qq).
* NB There are 2  31's