Bill > HR761

This bill, known as the Help Independent Tracks Succeed (HITS) Act, amends the Internal Revenue Code to allow music producers and recording artists to expense (immediately deduct) the costs of producing sound recordings in the United States, similar to existing tax provisions for film and theatrical productions. Specifically, the bill creates a new category of "qualified sound recording production" and allows taxpayers to elect to treat up to $150,000 of sound recording production costs as an immediate expense rather than a capitalized asset that would be depreciated over time. The bill defines a qualified sound recording production as a sound recording produced and recorded within the United States, and it modifies existing tax code sections to include sound recordings in bonus depreciation calculations. Additionally, the bill specifies that a qualified sound recording production is considered "placed in service" at the time of its initial release or broadcast. These changes are designed to provide financial support and tax incentives for independent musicians and sound recording producers, potentially making it more affordable to create new music in the United States. The provisions will apply to productions commencing in taxable years following the Act's enactment.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/761/all-info