McIntyre Supports Film Production Incentives

Press Release

McIntyre Supports Film Production Incentives

U.S. Congressman Mike McIntyre announced today that he is supporting legislation to keep feature film and television productions in Wilmington and North Carolina.

Congressman McIntyre stated, "Film and television productions are critical to the economy of Wilmington and North Carolina. This legislation that I am supporting will help to make sure that we are doing all we can to keep it here."

Congressman McIntyre is supporting legislation which would attract film and television projects to the US and also make certain deductions permanent under Section 181 of the tax code that are scheduled to expire in 2008.

As part of the American Jobs Creation Act of 2004, which Congressman McIntyre strongly supported, Congress enacted Internal Revenue Code section 181 to attract film and television projects back to the U.S. Currently, this provision allows independent film and television productions with budgets under $15 million to deduct, in the year incurred, the cost of any qualifying film and television production. This provision was intended to help producers raise capital for domestic film productions, making it easier to locate such productions within the United States, notwithstanding foreign incentives. Unfortunately, recent Treasury Department regulations threaten this important provision by interpreting that the $15 million budget limit should include residual and participation payments which are payments made to actors, directors, and other creative talent based on the revenue generated by the film.

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