Georgia 2023-2024 Regular Session

Georgia House Bill HB1431 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	24 LC 50 0812
2	2	House Bill 1431
3	3	By: Representatives Greene of the 154
4	4	th
5	5	, Stephens of the 164
6	6	th
7	7	, Townsend of the 179
8	8	th
9	9	, Sainz
10	10	of the 180
11	11	th
12	12	, and Williams of the 168
13	13	th
14	14
15	15	A BILL TO BE ENTITLED
16	16	AN ACT
17	17	To amend Code Section 48-7-40.26 of the Official Code of Georgia Annotated, relating to
18	18	1
19	19	tax credits for film, gaming, video, or digital production, so as to provide for an additional2
20	20	credit for certain qualified productions that are shot in certain rural counties; to require the3
21	21	publication of a list of such counties; to provide for an application requirement; to provide4
22	22	for related matters; to repeal conflicting laws; and for other purposes.5
23	23	BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:6
24	24	SECTION 1.7
25	25	Code Section 48-7-40.26 of the Official Code of Georgia Annotated, relating to tax credits8
26	26	for film, gaming, video, or digital production, is amended by revising subsections (c) and (d)9
27	27	as follows: 10
28	28	"(c) For any production company or qualified interactive entertainment production11
29	29	company and its affiliates that invest in a state certified production approved by the12
30	30	Department of Economic Development and whose average annual total production13
31	31	expenditures in this state did not exceed $30 million for 2002, 2003, and 2004, there shall14
32	32	be allowed an income tax credit against the tax imposed under this article. The tax credit15
33	33	under this subsection shall be allowed if the base investment in this state equals or exceeds16
34	34	H. B. 1431
35	35	- 1 - 24 LC 50 0812
36	36	$500,000.00 for qualified production activities, except that any qualified interactive
37	37	17
38	38	entertainment production company shall be allowed the tax credit under this subsection if18
39	39	the base investment in this state equals or exceeds $250,000.00 for qualified production19
40	40	activities on or after January 1, 2018, and shall be calculated as follows:20
41	41	(1) The production company or qualified interactive entertainment production company21
42	42	shall be allowed a tax credit equal to 20 percent of the base investment in this state; and22
43	43	(2)(A) The production company or qualified interactive entertainment production23
44	44	company shall be allowed an additional tax credit equal to 10 percent of such base24
45	45	investment if the qualified production activity includes a qualified Georgia promotion. 25
46	46	Such additional tax credit shall be allowed for any qualified production that includes26
47	47	a qualified Georgia promotion upon its release to the general public. In lieu of the27
48	48	inclusion of the Georgia promotional logo, the production company or qualified28
49	49	interactive entertainment production company may offer alternative marketing29
50	50	opportunities to be evaluated by the Department of Economic Development to ensure30
51	51	that they offer equal or greater promotional value to the State of Georgia. The31
52	52	Department of Economic Development shall electronically certify to the Department32
53	53	of Revenue when the requirements of this paragraph and paragraph (2) of subsection33
54	54	(d) of this Code section have been met.34
55	55	(B) The Department of Economic Development shall prepare an annual report detailing35
56	56	the marketing opportunities it has approved under the provisions of subparagraph (A)36
57	57	of this paragraph. The report shall include, but not be limited to:37
58	58	(i) The goals and strategy behind each marketing opportunity approved pursuant to38
59	59	the provisions of subparagraph (A) of this paragraph;39
60	60	(ii) The names of all production companies approved by the Department of Economic40
61	61	Development to provide alternative marketing opportunities;41
62	62	(iii) The estimated value to the state of each approved alternative marketing42
63	63	opportunity compared to the estimated value of the Georgia promotional logo; and43
64	64	H. B. 1431
65	65	- 2 - 24 LC 50 0812
66	66	(iv) The names of all production companies who chose to include the Georgia
67	67	44
68	68	promotional logo in their final production instead of offering the state an alternative45
69	69	marketing proposal.46
70	70	The report required under this paragraph shall be completed no later than January 1 of47
71	71	each year and presented to each member of the House Committee on Ways and Means,48
72	72	the Senate Finance Committee, the Senate Economic Development and Tourism49
73	73	Committee, the House Committee on Economic Development and Tourism, and the50
74	74	Governor.51
75	75	(C) The additional percentage of tax credit allowed by this paragraph and by paragraph52
76	76	(2) of subsection (d) of this Code section shall not be allowed to a production company53
77	77	for any qualified production activity or state certified production that has not been54
78	78	commercially distributed in multiple markets.55
79	79	(D) The additional percentage of tax credit that is allowed by this paragraph and by56
80	80	paragraph (2) of subsection (d) of this Code section shall not be issued final57
81	81	certification pursuant to subsection (l) of this Code section unless and until the state58
82	82	certified production has been commercially distributed in multiple markets within five59
83	83	years of the date that the project was first certified by the Department of Economic60
84	84	Development.61
85	85	(3) For taxable years beginning on or after January 1, 2024, and ending on or before
86	86	62
87	87	December 31, 2029, the production company or qualified interactive entertainment63
88	88	production company shall be allowed an additional tax credit equal to 5 percent of such64
89	89	base investment if 60 percent or more of the total photography days of the state certified65
90	90	production occur in one or more counties in this state that individually have a population66
91	91	of less than 100,000 with 10 percent or more of such population living in poverty based67
92	92	upon the most recent, reliable, and applicable data published by the United States Bureau68
93	93	of the Census. On or before December 31 of each year, the commissioner of the69
94	94	Department of Community Affairs shall publish a list of such counties.70
95	95	H. B. 1431
96	96	- 3 - 24 LC 50 0812
97	97	(3)(4) The base investment and the amount of the credit allowed by this subsection and71
98	98	by subsection (d) of this Code section with respect to a production company shall be72
99	99	subject to the limitations of and any reductions required by subsection (l) of this Code73
100	100	section.74
101	101	(d) For any production company or qualified interactive entertainment production75
102	102	company and its affiliates that invest in a state certified production approved by the76
103	103	Department of Economic Development and whose average annual total production77
104	104	expenditures in this state exceeded $30 million for 2002, 2003, and 2004, there shall be78
105	105	allowed an income tax credit against the tax imposed under this article. For purposes of79
106	106	this subsection, the excess base investment in this state is computed by taking the current80
107	107	year production expenditures in a state certified production and subtracting the average of81
108	108	the annual total production expenditures for 2002, 2003, and 2004. The tax credit shall be82
109	109	calculated as follows:83
110	110	(1) If the excess base investment in this state equals or exceeds $500,000.00, or84
111	111	$250,000.00 for qualified interactive entertainment production activities on or after85
112	112	January 1, 2018, the production company or qualified interactive entertainment86
113	113	production company and its affiliates shall be allowed a tax credit of 20 percent of such87
114	114	excess base investment; and88
115	115	(2)(A) The production company or qualified interactive entertainment production89
116	116	company and its affiliates shall be allowed an additional tax credit equal to 10 percent90
117	117	of the excess base investment if the qualified production activities include a qualified91
118	118	Georgia promotion. Such additional tax credit shall be allowed for any qualified92
119	119	production that includes a qualified Georgia promotion upon its release to the general93
120	120	public. In lieu of the inclusion of the Georgia promotional logo, the production94
121	121	company or qualified interactive entertainment production company may offer95
122	122	marketing opportunities to be evaluated by the Department of Economic Development96
123	123	to ensure that they offer equal or greater promotional value to the State of Georgia.97
124	124	H. B. 1431
125	125	- 4 - 24 LC 50 0812
126	126	(B) The Department of Economic Development shall prepare an annual report detailing
127	127	98
128	128	the marketing opportunities it has approved under the provisions of subparagraph (A)99
129	129	of this paragraph. The report shall include, but not be limited to:100
130	130	(i) The goals and strategy behind each marketing opportunity approved pursuant to101
131	131	the provisions of subparagraph (A) of this paragraph;102
132	132	(ii) The names of all production companies approved by the Department of Economic103
133	133	Development to provide alternative marketing opportunities;104
134	134	(iii) The estimated value to the state of each approved alternative marketing105
135	135	opportunity compared to the estimated value of the Georgia promotional logo; and106
136	136	(iv) The names of all production companies who chose to include the Georgia107
137	137	promotional logo in their final production instead of offering the state an alternative108
138	138	marketing proposal.109
139	139	The report required under this paragraph shall be completed no later than January 1 of110
140	140	each year and presented to each member of the House Committee on Ways and Means,111
141	141	the Senate Finance Committee, the Senate Economic Development and Tourism112
142	142	Committee, the House Committee on Economic Development and Tourism, and the113
143	143	Governor.114
144	144	(3) For taxable years beginning on or after January 1, 2024, and ending on or before
145	145	115
146	146	December 31, 2029, the production company or qualified interactive entertainment116
147	147	production company shall be allowed an additional tax credit equal to 5 percent of such117
148	148	base investment if 60 percent or more of the total photography days of the state certified118
149	149	production occur in one or more counties in this state that individually have a119
150	150	population of less than 100,000 with 10 percent or more of such population living in120
151	151	poverty based upon the most recent, reliable, and applicable data published by the121
152	152	United States Bureau of the Census. On or before December 31 of each year, the122
153	153	commissioner of the Department of Community Affairs shall publish a list of such123
154	154	counties."124
155	155	H. B. 1431
156	156	- 5 - 24 LC 50 0812
157	157	SECTION 2.
158	158	125
159	159	Said Code section is further amended in paragraph (2) of subsection (h.1) by redesignating126
160	160	subparagraphs (I) and (J) as (J) and (K), respectively, and by adding a new subparagraph (I)127
161	161	to read as follows:128
162	162	"(I) For any projects certified by the Department of Economic Development on or after
163	163	129
164	164	January 1, 2024, for which the tax credits sought include the additional credit allowed130
165	165	pursuant to paragraph (3) of subsection (c) of this Code section or paragraph (3) of131
166	166	subsection (d) of this Code section, a description of the status of satisfying the132
167	167	requirements of such paragraphs;"133
168	168	SECTION 3.134
169	169	All laws and parts of laws in conflict with this Act are repealed.135
170	170	H. B. 1431
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