Relates to the programs and shows which qualify for the empire state film production credit

BILL NUMBER:S4169A

Title of bill

An act to amend the tax law, in relation to the programs and shows which qualify for the empire state film production credit

Purpose or general idea of bill

Provides for the inclusion of interview talk programs, game shows, sporting event or sporting programs and daytime dramas within the definition of "qualified film "

Summary of specific provisions

Section 1, Paragraph 3 of subdivision (b) of section 24 of the tax law, as added by section 1 of part P of chapter 60 of the laws of 2004. Current law does not afford interview or talk programs, game shows, sporting event / sporting programs or daytime dramas from taking advantage of the film production tax credit The proposed amendments would create a level playing field for these types of broadcasts for both new and retained productions of the above listed programs.

Section 2 - amends Paragraph 3 of subdivision (b) of section 24 of the tax law by adding a new section 9 defining retained productions.

Justification

The Empire State film production tax credit law that first went into effect in 2004, and amended numerous times since, has offered significant and appropriate tax incentives exclusively for the benefit of the movie industry. Until recently, it has not been a concern of the television networks and their union workers who reside in New York.

In 2010, Connecticut passed its 30% Film Production Tax Credit Law and covered certain television productions that caused numerous television shows, such as All My Children and One Life to Live, to leave NYS and relocate to Connecticut A sampling of other relocated shows that have or will be produced in Connecticut due to the state's film tax credit are: Deal of No Deal (NBC); The Maury Povich Show (NBC);Trisha, a new talk show being launched this year out of Stamford; and the NBC Cable Sports Operation. Their departures have had a major rippling effect on the television industry in New York and its workers as well as the various vendors that have been negatively affected.

In the face of the Connecticut law, the provisions of the NYS law are relevant to our television industry and require amendments to prevent more departures from NYS with its loss of jobs and proliferation of vacant NYS television studios. The law needs to be changed to be able to assist all TV productions, regardless of size and the current fund must be made available for all TV and film productions. Should the state not expand the program, as recommended, it is likely that more TV productions of this type will leave the New York area and with them the employees who earn between $1200 and $1500 per week, plus medical coverage, retirement benefits, sick days, paid holidays, etc. which could have a significant impact on future revenues.

Prior legislative history

New bill.

Fiscal implications

None.

Effective date

This act shall take effect immediately.