The Commonwealth of Massachusetts

Executive Department

State House Boston, MA 02133

(617) 725-4000

MITT ROMNEY

GOVERNOR

KERRY HEALEY

LIEUTENANT GOVERNOR

FOR IMMEDIATE RELEASE:

November 23, 2005

CONTACT:

Julie Teer

Laura Nicoll

(617) 725-4025

"LIGHTS, CAMERA, ACTION!" IN MASSACHUSETTS

Romney says tax credits will attract more movie production to the Bay State

Governor Mitt Romney today signed a bill into law that provides the film industry with tax credits designed to attract movie and television production to Massachusetts. The tax incentive program reduces the cost of producing motion pictures to help expand the state’s film business.

“Grab your popcorn and soda, because Massachusetts is ready for its close-up,” said Romney. “Movie and television production has increased dramatically over the past 10 years and we want to get a piece of that growth by encouraging producers, directors, and crews to do their jobs right here in the Commonwealth.”

Under the new measure, filmmakers who incur at least $250,000 of production costs in the Commonwealth will be eligible for income and corporate excise tax credits equal to 20 percent of the total Massachusetts payroll for the film, excluding salaries of $1 million and higher.

In addition, filmmakers who site more than half of their total production in Massachusetts or expend more than half of their total production costs here will be eligible for a 25 percent tax credit for all Massachusetts production expenses, excluding payroll.

Finally, filmmakers who expend over $250,000 in Massachusetts production costs in any one-year period will be eligible for a sales tax exemption.

The total credits available for any one production are capped at $7 million.

“Whether it’s the revenue and jobs generated by a local shoot or the tourism dollars that can be traced back to projecting the state on the big screen, making movies in Massachusetts just makes sense,” said Speaker Salvatore F. DiMasi. “This law will send a very strong message to a multi-billion dollar industry that Massachusetts is back and open for business.”

“This is a very exciting day for the Commonwealth, and we owe much to the collaborative leadership and vision of Governor Romney, Senate President Travaglini and Speaker DiMasi,” said Don Stirling, President and CEO of the Massachusetts Sports & Entertainment Commission. “Our incredible geography and very capable film workforce has always been attractive to Hollywood, and now, with this film incentive legislation, we have the economic resources to attract more and more movies to Massachusetts.”

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