In order to receive the 25% payroll credit, a project must spend $50,000 in-state during a consecutive 12-month period.

In order to receive the 25% production credit and a sales tax exemption, a production must spend more than 75% of its total budget or film at least 75% of its principal photography days in Massachusetts.

Start by contacting the Massachusetts Film Office and complete the Film Production Registration Form.

Companies not domiciled in Massachusetts — whether corporations, LLCs, or loan-outs — must register with the Massachusetts Secretary of State's Office prior to the start of production.

Prior to making purchases in Massachusetts, apply for the sales tax exemption.

Loan-outs must file an affadavit/allocation form, and production companies must verify that they've paid unemployment taxes. 

Compensation to persons earning $1,000,000 or more is not eligible for the payroll expense credit. However, the earnings can be submitted for the production expense tax credit.

Massachusetts tax credits can be cashed out with the Commonwealth of Massachusetts at 90% of face value after satisfying tax liabilities, or can be transferred at market rate. 

Credits have a carry-forward of five years.

A Loan-Out Affidavit/Allocation Form must be completed for each artist’s loan-out company.

Multiple episodes of a television series or multiple commercials for the same client may be aggregated to qualify for the tax credit. The 12-month qualifying period must be the same for sales tax exemption and tax credits, but the qualifying period can cross taxable years.