Bill > HB400

This bill modifies the motion picture production tax credit program in Virginia by increasing the total amount of tax credits that can be awarded each fiscal year. Specifically, it raises the aggregate cap on these credits from $6.5 million to $8.5 million, beginning in fiscal year 2026. Additionally, the bill extends the program's sunset date, meaning the tax credit will remain available for motion picture productions filmed in Virginia until taxable year 2031, rather than expiring in 2027. The tax credit is designed to incentivize film production in the Commonwealth by offering a percentage of qualifying expenses as a refundable credit, with higher percentages available for productions filmed in economically distressed areas. Qualifying expenses include goods and services purchased or leased, and compensation paid to employees, with certain limitations on high salaries. The program is administered by the Virginia Economic Development Partnership Authority and the Virginia Tourism Authority, which establish criteria and oversee the application and allocation process.

Budget and Finance

https://lis.virginia.gov/bill-details/20261/HB400