SB 2580 RELATING TO THE MOTION PICTURE, DIGITAL MEDIA AND FILM PRODUCTION INCOME TAX CREDIT     

Increases the Motion Picture, Digital Media, and Film Production Income Tax Credit to 27 per cent of qualified production costs in counties with a population of over seven hundred thousand and 32 per cent in counties with a population of seven hundred thousand or less. Requires each taxpayer claiming the tax credit to submit an independent third-party certification verifying certain information to the Department of Business, Economic Development, and Tourism. Excludes qualified productions that incur at least $60 million of qualified production costs from the per-production total tax credit cap of $17 million. Increases the total amount of tax credits allowed to be claimed annually to $60 million. Defines "streaming platform" and amends the definition of "qualified production" to include certain streaming productions. Extends the sunset date of the tax credit to 1/1/2038.

1. TV series such as Magnum P.I., Hawaiʻi Five-O, and NCIS: Hawaiʻi have filmed in West Oʻahu in the past, bringing steady business to local restaurants, vendors, and service providers.
2. Film and television productions support small businesses and local jobs, including food services, transportation, equipment rentals, cleaning services, and neighborhood businesses.
3. With no TV series currently filming in Hawaiʻi, local businesses are losing customers and workers are losing income that supports their families.
4. Productions are choosing to film elsewhere because Hawaiʻi’s incentives are no longer competitive.
5. Strengthening Hawaiʻi’s film incentives will help bring productions back and support small businesses, workers, and economic growth in West Oʻahu, especially as a film studio is planned for the region.