Production Incentives Overview
The Texas Moving Image Industry Incentive Program (TMIIIP) is designed to build the economy through the moving image industry by creating jobs in Texas. TMIIIP provides qualifying film, television, commercial, visual effects and video game productions the opportunity to receive a cash grant based on a percentage of a project’s eligible Texas expenditures, including eligible wages paid to Texas residents. Grants vary by budget levels and types of productions, and are issued upon completion of a review of the project's Texas expenditures.
The Media Production Development Zone Act (MPDZA) focuses on supporting facilities and infrastructure in the entertainment industry. The program provides limited sales, excise and use taxes exemptions that will allow companies to invest in building or improving facilities such as sound stages, gaming facilities and animation studios, a crucial factor in attracting and maintaining production projects in Texas. Facility owners or developers will request the exemption through their local governmental body who, after reviewing the request, will make application directly to the Texas Film Commission.
Texas also offers:
- Up-front Sales Tax Exemptions on most items rented or purchased for direct use in production;
- Refunds of the 6% State Occupancy Tax on hotel rooms occupied for more than 30 consecutive days;
- Refunds on Fuel Tax paid on fuel used off-road.
One of Texas' strongest assets is its depth of crew for film and television projects. Very few other states can match it: on most features shot in Texas, nearly 80% of the jobs are filled locally. That saves on housing, transportation and per diem, and these are not trainees, but experienced professionals who get it right the first time.
FEDERAL TAX INCENTIVES
The information below is provided by the Directors Guild of America and the Independent Film & Television Alliance. It should not be viewed as tax advice with respect to your production activities. The Texas Film Commission does not have further information about these federal tax incentives and cannot advise you on how they may apply to your production. For such advice, consult with your tax advisor.
- Section 199 - Download the DGA information for this Internal Revenue Code.