GOV. EASLEY ANNOUNCES NEW FILM INDUSTRY INCENTIVES Move is Designed to Increase State’s Competitiveness in an Industry Vital to N.C.’s Economy
RALEIGH – Gov. Mike Easley has authorized a provision to provide tax credits to companies that produce movies or television series in North Carolina. The film incentive package, included in the budget he signed on Saturday, is designed to help North Carolina remain a top competitor in the movie and television industry.
“North Carolina has been very successful in bringing filmmakers to our state,” Easley said. “Last year alone, the film industry contributed $235 million in direct spending. This new economic development tool will make North Carolina even more attractive as a location for film production as global competition increases.”
That $235 million economic contribution was enough for North Carolina to retain its No. 3 ranking in U.S. film production behind California and New York. The 17 feature films, 71 television projects, and countless TV commercials shot here in 2004 generated 20,000 production jobs for North Carolinians.
The incentives, which are expected to cost about $5.4 million a year, allow a production company that spends at least $250,000 in the state to receive a tax credit equal to 15 percent for all the goods, services and labor it purchases in North Carolina. The maximum a company can receive is $7.5 million for a feature film, which would require an investment of $50 million.
The new incentives, which were proposed by Sen. Julia Boseman (D-New Hanover) and approved by the General Assembly, have already helped NBC decide to make a new television series, Surface, in the Wilmington area, and contributed to the announcement that Will Farrell will star in a NASCAR comedy to be filmed in Charlotte.
For more information about film production in North Carolina, contact the N.C. Film Office at (919) 733-9900 or visit its website at ncfilm.com.