104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1424 Introduced , by Rep. Janet Yang Rohr SYNOPSIS AS INTRODUCED: 35 ILCS 16/10 Amends the Film Production Services Tax Credit Act of 2008. Provides that the credit under the Act shall include an additional amount equal to 30% of the Illinois labor expenditures generated as a result of work performed in Illinois by an actor who portrays, in the production, a woman working in a STEM-related field. LRB104 05872 HLH 15903 b A BILL FOR 104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1424 Introduced , by Rep. Janet Yang Rohr SYNOPSIS AS INTRODUCED: 35 ILCS 16/10 35 ILCS 16/10 Amends the Film Production Services Tax Credit Act of 2008. Provides that the credit under the Act shall include an additional amount equal to 30% of the Illinois labor expenditures generated as a result of work performed in Illinois by an actor who portrays, in the production, a woman working in a STEM-related field. LRB104 05872 HLH 15903 b LRB104 05872 HLH 15903 b A BILL FOR
104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1424 Introduced , by Rep. Janet Yang Rohr SYNOPSIS AS INTRODUCED:
35 ILCS 16/10 35 ILCS 16/10
35 ILCS 16/10
Amends the Film Production Services Tax Credit Act of 2008. Provides that the credit under the Act shall include an additional amount equal to 30% of the Illinois labor expenditures generated as a result of work performed in Illinois by an actor who portrays, in the production, a woman working in a STEM-related field.
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A BILL FOR
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1 AN ACT concerning revenue.
2 Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
4 Section 5. The Film Production Services Tax Credit Act of
5 2008 is amended by changing Section 10 as follows:
6 (35 ILCS 16/10)
7 Sec. 10. Definitions. As used in this Act:
8 "Accredited production" means: (i) for productions
9 commencing before May 1, 2006, a film, video, or television
10 production that has been certified by the Department in which
11 the aggregate Illinois labor expenditures included in the cost
12 of the production, in the period that ends 12 months after the
13 time principal filming or taping of the production began,
14 exceed $100,000 for productions of 30 minutes or longer, or
15 $50,000 for productions of less than 30 minutes; and (ii) for
16 productions commencing on or after May 1, 2006, a film, video,
17 or television production that has been certified by the
18 Department in which the Illinois production spending included
19 in the cost of production in the period that ends 12 months
20 after the time principal filming or taping of the production
21 began exceeds $100,000 for productions of 30 minutes or longer
22 or exceeds $50,000 for productions of less than 30 minutes.
23 "Accredited production" does not include a production that:
104TH GENERAL ASSEMBLY State of Illinois 2025 and 2026 HB1424 Introduced , by Rep. Janet Yang Rohr SYNOPSIS AS INTRODUCED:
35 ILCS 16/10 35 ILCS 16/10
35 ILCS 16/10
Amends the Film Production Services Tax Credit Act of 2008. Provides that the credit under the Act shall include an additional amount equal to 30% of the Illinois labor expenditures generated as a result of work performed in Illinois by an actor who portrays, in the production, a woman working in a STEM-related field.
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A BILL FOR
35 ILCS 16/10
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1 (1) is news, current events, or public programming, or
2 a program that includes weather or market reports;
3 (2) is a talk show produced for local or regional
4 markets;
5 (3) (blank);
6 (4) is a sports event or activity;
7 (5) is a gala presentation or awards show;
8 (6) is a finished production that solicits funds;
9 (7) is a production produced by a film production
10 company if records, as required by 18 U.S.C. 2257, are to
11 be maintained by that film production company with respect
12 to any performer portrayed in that single media or
13 multimedia program; or
14 (8) is a production produced primarily for industrial,
15 corporate, or institutional purposes.
16 "Accredited animated production" means an accredited
17 production in which movement and characters' performances are
18 created using a frame-by-frame technique and a significant
19 number of major characters are animated. Motion capture by
20 itself is not an animation technique.
21 "Accredited production certificate" means a certificate
22 issued by the Department certifying that the production is an
23 accredited production that meets the guidelines of this Act.
24 "Applicant" means a taxpayer that is a film production
25 company that is operating or has operated an accredited
26 production located within the State of Illinois and that (i)
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1 owns the copyright in the accredited production throughout the
2 Illinois production period or (ii) has contracted directly
3 with the owner of the copyright in the accredited production
4 or a person acting on behalf of the owner to provide services
5 for the production, where the owner of the copyright is not an
6 eligible production corporation.
7 "Credit" means:
8 (1) for an accredited production approved by the
9 Department on or before January 1, 2005 and commencing
10 before May 1, 2006, the amount equal to 25% of the Illinois
11 labor expenditure approved by the Department. The
12 applicant is deemed to have paid, on its balance due day
13 for the year, an amount equal to 25% of its qualified
14 Illinois labor expenditure for the tax year. For Illinois
15 labor expenditures generated by the employment of
16 residents of geographic areas of high poverty or high
17 unemployment, as determined by the Department, in an
18 accredited production commencing before May 1, 2006 and
19 approved by the Department after January 1, 2005, the
20 applicant shall receive an enhanced credit of 10% in
21 addition to the 25% credit; and
22 (2) for an accredited production commencing on or
23 after May 1, 2006 and before January 1, 2009, the amount
24 equal to:
25 (i) 20% of the Illinois production spending for
26 the taxable year; plus
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1 (ii) 15% of the Illinois labor expenditures
2 generated by the employment of residents of geographic
3 areas of high poverty or high unemployment, as
4 determined by the Department; and
5 (3) for an accredited production commencing on or
6 after January 1, 2009 and before January 1, 2026, the
7 amount equal to:
8 (i) 30% of the Illinois production spending for
9 the taxable year; plus
10 (ii) 15% of the Illinois labor expenditures
11 generated by the employment of residents of geographic
12 areas of high poverty or high unemployment, as
13 determined by the Department; and .
14 (4) for an accredited production commencing on or
15 after January 1, 2026, the amount equal to:
16 (i) 30% of the Illinois production spending for
17 the taxable year; plus
18 (ii) 15% of the Illinois labor expenditures
19 generated by the employment of residents of geographic
20 areas of high poverty or high unemployment, as
21 determined by the Department; plus
22 (iii) 30% of the Illinois labor expenditures
23 generated as a result of work performed in Illinois by
24 an actor who portrays, in the production, a woman
25 working in a STEM-related field.
26 For the purposes of calculating the additional credit
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1 under subparagraph (iii) of this paragraph (4):
2 (A) if the total production spending for the
3 production is $25,000,000 or less, then the wages of
4 each resident Illinois resident actor described in
5 that subparagraph (iii) and up to 2 eligible
6 non-resident actors described in that subparagraph
7 (iii) may be used to calculate the additional credit
8 under that subparagraph (iii); and
9 (B) if the total production spending for the
10 production is more than $25,000,000, then the wages of
11 each resident Illinois resident actor described in
12 that subparagraph (iii) and up to 4 eligible
13 non-resident actors described in that subparagraph
14 (iii) may be used to calculate the additional credit
15 under that subparagraph (iii).
16 "Department" means the Department of Commerce and Economic
17 Opportunity.
18 "Director" means the Director of Commerce and Economic
19 Opportunity.
20 "Illinois labor expenditure" means salary or wages paid to
21 employees of the applicant for services on the accredited
22 production.
23 To qualify as an Illinois labor expenditure, the
24 expenditure must be:
25 (1) Reasonable in the circumstances.
26 (2) Included in the federal income tax basis of the
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1 property.
2 (3) Incurred by the applicant for services on or after
3 January 1, 2004.
4 (4) Incurred for the production stages of the
5 accredited production, from the final script stage to the
6 end of the post-production stage.
7 (5) Limited to the first $25,000 of wages paid or
8 incurred to each employee of a production commencing
9 before May 1, 2006 and the first $100,000 of wages paid or
10 incurred to each employee of a production commencing on or
11 after May 1, 2006 and prior to July 1, 2022. For
12 productions commencing on or after July 1, 2022, limited
13 to the first $500,000 of wages paid or incurred to each
14 eligible nonresident or resident employee of a production
15 company or loan out company that provides in-State
16 services to a production, whether those wages are paid or
17 incurred by the production company, loan out company, or
18 both, subject to withholding payments provided for in
19 Article 7 of the Illinois Income Tax Act. For purposes of
20 calculating Illinois labor expenditures for a television
21 series, the eligible nonresident wage limitations provided
22 under this subparagraph are applied to the entire season.
23 For the purpose of this paragraph (5), an eligible
24 nonresident is a nonresident whose wages qualify as an
25 Illinois labor expenditure under the provisions of
26 paragraph (9) that apply to that production.
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1 (6) For a production commencing before May 1, 2006,
2 exclusive of the salary or wages paid to or incurred for
3 the 2 highest paid employees of the production.
4 (7) Directly attributable to the accredited
5 production.
6 (8) (Blank).
7 (9) Prior to July 1, 2022, paid to persons resident in
8 Illinois at the time the payments were made. For a
9 production commencing on or after July 1, 2022, paid to
10 persons resident in Illinois and nonresidents at the time
11 the payments were made.
12 For purposes of this subparagraph, if the production
13 is accredited by the Department before the effective date
14 of this amendatory Act of the 102nd General Assembly, only
15 wages paid to nonresidents working in the following
16 positions shall be considered Illinois labor expenditures:
17 Writer, Director, Director of Photography, Production
18 Designer, Costume Designer, Production Accountant, VFX
19 Supervisor, Editor, Composer, and Actor, subject to the
20 limitations set forth under this subparagraph. For an
21 accredited Illinois production spending of $25,000,000 or
22 less, no more than 2 nonresident actors' wages shall
23 qualify as an Illinois labor expenditure. For an
24 accredited production with Illinois production spending of
25 more than $25,000,000, no more than 4 nonresident actor's
26 wages shall qualify as Illinois labor expenditures.
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1 For purposes of this subparagraph, if the production
2 is accredited by the Department on or after the effective
3 date of this amendatory Act of the 102nd General Assembly,
4 wages paid to nonresidents shall qualify as Illinois labor
5 expenditures only under the following conditions:
6 (A) the nonresident must be employed in a
7 qualified position;
8 (B) for each of those accredited productions, the
9 wages of not more than 9 nonresidents who are employed
10 in a qualified position other than Actor shall qualify
11 as Illinois labor expenditures;
12 (C) for an accredited production with Illinois
13 production spending of $25,000,000 or less, no more
14 than 2 nonresident actors' wages shall qualify as
15 Illinois labor expenditures; and
16 (D) for an accredited production with Illinois
17 production spending of more than $25,000,000, no more
18 than 4 nonresident actors' wages shall qualify as
19 Illinois labor expenditures.
20 As used in this paragraph (9), "qualified position"
21 means: Writer, Director, Director of Photography,
22 Production Designer, Costume Designer, Production
23 Accountant, VFX Supervisor, Editor, Composer, or Actor.
24 (10) Paid for services rendered in Illinois.
25 "Illinois production spending" means the expenses incurred
26 by the applicant for an accredited production, but does not
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1 include any monetary prize or the cost of any non-monetary
2 prize awarded pursuant to a production in respect of a game,
3 questionnaire, or contest. "Illinois production spending"
4 includes, without limitation, all of the following:
5 (1) expenses to purchase, from vendors within
6 Illinois, tangible personal property that is used in the
7 accredited production;
8 (2) expenses to acquire services, from vendors in
9 Illinois, for film production, editing, or processing; and
10 (3) for a production commencing before July 1, 2022,
11 the compensation, not to exceed $100,000 for any one
12 employee, for contractual or salaried employees who are
13 Illinois residents performing services with respect to the
14 accredited production. For a production commencing on or
15 after July 1, 2022, the compensation, not to exceed
16 $500,000 for any one employee, for contractual or salaried
17 employees who are Illinois residents or nonresident
18 employees, subject to the limitations set forth under
19 Section 10 of this Act.
20 "Loan out company" means a personal service corporation or
21 other entity that is under contract with the taxpayer to
22 provide specified individual personnel, such as artists, crew,
23 actors, producers, or directors for the performance of
24 services used directly in a production. "Loan out company"
25 does not include entities contracted with by the taxpayer to
26 provide goods or ancillary contractor services such as
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