Bill > S1340

This bill establishes a live theater infrastructure tax credit program to support and expand live musical and theatrical productions in Massachusetts. The program allows eligible theater companies that partner with Massachusetts-based venues, companies, presenters, or producers to claim a tax credit against their state taxes. This credit is designed to encourage the development of pre-Broadway and pre-off-Broadway productions, as well as Broadway tour launches, and to support the long-term growth of shows. To qualify, productions must be presented in a "Qualified Production Facility" in Massachusetts, defined as a venue with at least one stage, 500 or more seats, and necessary amenities. The tax credit is calculated as 35% of in-state labor costs and 25% of production, performance, and transportation expenditures, including out-of-state labor costs, with a cap of $3 million per production and a total of $10 million in credits issued annually. The bill also outlines definitions for various terms, such as "Eligible theater production," "Pre-Broadway Production," and "Payroll," and details the application and certification process through the Massachusetts Office of Travel and Tourism. Importantly, the bill allows for the transfer or sale of these tax credits to other individuals or entities, and any proceeds from such sales are exempt from state taxes. The program is set to expire on January 1, 2021, unless a production received initial certification before that date.