AB1125,13,221 1. “Accredited production" means a film, video, broadcast advertisement, or
22television production, as approved by the state film office, for which the aggregate
23salary and wages included in the cost of the production for the period ending 12
24months after the month in which the principal filming or taping of the production
25begins exceeds $100,000 for a production that is 30 minutes or longer or $50,000 for

1a production that is less than 30 minutes. “Accredited production" does not include
2any of the following, regardless of the production costs:
AB1125,13,43 a. News, current events, or public programming or a program that includes
4weather or market reports.
AB1125,13,55 b. A talk show.
AB1125,13,66 c. A production with respect to a questionnaire or contest.
AB1125,13,77 d. A sports event or sports activity.
AB1125,13,88 e. A gala presentation or awards show.
AB1125,13,99 f. A finished production that solicits funds.
AB1125,13,1210g. A production for which the production company is required under 18 USC
112257
to maintain records with respect to a performer portrayed in a single media or
12multimedia program.
AB1125,13,1413 h. A production produced primarily for industrial, corporate, or institutional
14purposes.
AB1125,13,2015 2. “Claimant" means a film production company, as defined in sub. (5h) (a) 2.,
16that operates an accredited production in this state, if the company owns the
17copyright in the accredited production or has contracted directly with the copyright
18owner or a person acting on the owner's behalf and if the company has a viable plan,
19as determined by the state film office, for the commercial distribution of the finished
20production.
AB1125,13,2521 3. “Commercial domicile" means the location from which a trade or business
22is principally managed and directed, based on any factors the state film office
23determines are appropriate, including the location where the greatest number of
24employees of the trade or business work, the trade or business has its office or base
25of operations, or from which the employees are directed or controlled.
AB1125,14,16
14. “Production expenditures" means any expenditure that is incurred in this
2state and directly used to produce an accredited production, including expenditures
3for writing, budgeting, casting, location scouts, set construction and operation,
4wardrobes, makeup, clothing accessories, photography, sound recording, sound
5synchronization, sound mixing, lighting, editing, film processing, film transferring,
6special effects, visual effects, renting or leasing facilities or equipment, renting or
7leasing motor vehicles, food, lodging, and any other similar pre-production,
8production, and post-production expenditure as determined by the state film office.
9“Production expenditures" includes expenditures for music that is performed,
10composed, or recorded by a musician who is a resident of this state or published or
11distributed by an entity that has its commercial domicile in this state; air travel that
12is purchased from a travel agency or company that has its commercial domicile in
13this state; and insurance that is purchased from an insurance agency or company
14that has its commercial domicile in this state. “Production expenditures" does not
15include salary or wages or expenditures for the marketing and distribution of an
16accredited production.
AB1125,14,1917 (b) Filing claims. Subject to the limitations provided in this subsection, for
18taxable years beginning after December 31, 2023, a claimant may claim as a credit
19against the tax imposed under s. 71.23 any of the following amounts:
AB1125,14,2320 1. An amount equal to 25 percent of the salary or wages paid by the claimant
21to the claimant's employees in the taxable year for services rendered in this state to
22produce an accredited production and paid to employees who were residents of this
23state at the time that they were paid.
AB1125,14,2524 2. An amount equal to 25 percent of the production expenditures paid by the
25claimant in the taxable year to produce an accredited production.
AB1125,15,5
13. An amount equal to the taxes imposed under ss. 77.52 and 77.53 that the
2claimant paid in the taxable year on the purchase of tangible personal property and
3taxable services that are used directly in producing an accredited production in this
4state, including all stages from the final script stage to the distribution of the finished
5production.
AB1125,15,96 (c) Limitations. 1. No amount of the salary or wages paid under par. (b) 1. may
7be the basis for a credit under this subsection unless the salary or wages are paid for
8services rendered after December 31, 2023, and directly incurred to produce the
9accredited production.
AB1125,15,1510 2. The total amount of the credits that may be claimed by a claimant under par.
11(b) 1. shall not exceed an amount equal to the first $250,000 of salary or wages paid
12to each of the claimant's employees, as described in par. (b) 1., in the taxable year,
13not including the salary or wages paid to the claimant's 2 highest-paid employees,
14as described in par. (b) 1., in the taxable year, if the claimant's budgeted production
15expenditures are $1,000,000 or more.
AB1125,15,1916 3. No credit may be allowed under this subsection unless the claimant files an
17application with the state film office, at the time and in the manner prescribed by the
18office, and the office approves the application. The claimant shall submit a copy of
19the approved application with the claimant's return.
AB1125,16,220 4. Partnerships, limited liability companies, and tax-option corporations may
21not claim the credit under this subsection, but the eligibility for, and the amount of,
22the credit are based on their payment of amounts under par. (b). A partnership,
23limited liability company, or tax-option corporation shall compute the amount of
24credit that each of its partners, members, or shareholders may claim and shall
25provide that information to each of them. Partners, members of limited liability

1companies, and shareholders of tax-option corporations may claim the credit in
2proportion to their ownership interest.
AB1125,16,53 (d) Administration. 1. Subsection (4) (e), (g), and (h), as it applies to the credit
4under sub. (4), applies to the credits under this subsection. Subsection (4) (f), as it
5applies to the credit under sub. (4), applies to the credits under par. (b) 1. and 3.
AB1125,16,106 2. If the allowable amount of the claim under par. (b) 2. exceeds the tax
7otherwise due under s. 71.23 or no tax is due under s. 71.23, the amount of the claim
8not used to offset the tax due shall be certified by the department of revenue to the
9department of administration for payment by check, share draft, or other draft
10drawn from the appropriation account under s. 20.835 (2) (bm).
AB1125,16,19113. Any person, including a nonprofit entity described in section 501 (c) (3) of the
12Internal Revenue Code, may sell or otherwise transfer a credit under this subsection,
13in whole or in part, to another person who is subject to the taxes imposed under s.
1471.02, 71.23, or 71.43, if the person notifies the department of the transfer, and
15submits with the notification a copy of the transfer documents, and the department
16certifies ownership of the credit. The transferee may first use the credit to offset tax
17of the transferor in the taxable year in which the transfer occurs and may use the
18credit only to offset tax in taxable years in which the credit is otherwise allowed to
19be claimed and carried forward by the original claimant.
AB1125,14 20Section 14. 71.28 (5h) of the statutes is created to read:
AB1125,16,2221 71.28 (5h) Film production company investment credit. (a) Definitions. In
22this subsection:
AB1125,16,2423 1. “Claimant" means a person who files a claim under this subsection and who
24does business in this state as a film production company.
AB1125,17,3
12. “Film production company" means an entity that creates films, videos,
2broadcast advertisement, or television productions, not including the productions
3described under sub. (5f) (a) 1. a. to h.
AB1125,17,64 3. “Physical work" does not include preliminary activities such as planning,
5designing, securing financing, researching, developing specifications, or stabilizing
6property to prevent deterioration.
AB1125,17,117 4. “Previously owned property" means real property that the claimant or a
8related person owned during the 2 years prior to doing business in this state as a film
9production company and for which the claimant may not deduct a loss from the sale
10of the property to, or an exchange of the property with, the related person under
11section 267 of the Internal Revenue Code.
AB1125,17,1312 5. “Used exclusively" means used to the exclusion of all other uses except for
13other use not exceeding 5 percent of total use.
AB1125,17,1914 (b) Filing claims. Subject to the limitations provided in this subsection, for
15taxable years beginning after December 31, 2023, a claimant may claim as a credit
16against the tax imposed under s. 71.23, up to the amount of the taxes, for the first
173 taxable years that the claimant is doing business in this state as a film production
18company, an amount that is equal to 25 percent of the following that the claimant
19paid in the taxable year to establish a film production company in this state:
AB1125,17,2020 1. The purchase price of depreciable, tangible personal property.
AB1125,17,2221 2. The amount expended to acquire, construct, rehabilitate, remodel, or repair
22real property.
AB1125,17,2523 (c) Limitations. 1. A claimant may claim the credit under par. (b) 1., if the
24tangible personal property is purchased after December 31, 2023, and the personal
25property is used exclusively in the claimant's business as a film production company.
AB1125,18,5
12. A claimant may claim the credit under par. (b) 2. for an amount expended
2to construct, rehabilitate, remodel, or repair real property, if the claimant began the
3physical work of construction, rehabilitation, remodeling, or repair, or any
4demolition or destruction in preparation for the physical work, after December 31,
52023, or if the completed project is placed in service after December 31, 2023.
AB1125,18,96 3. A claimant may claim the credit under par. (b) 2. for an amount expended
7to acquire real property, if the property is not previously owned property and if the
8claimant acquires the property after December 31, 2023, or if the completed project
9is placed in service after December 31, 2023.
AB1125,18,1310 4. No claim may be allowed under this subsection unless the state film office
11certifies, in writing, that the credits claimed under this subsection are for expenses
12related to establishing a film production company in this state and the claimant
13submits a copy of the certification with the claimant's return.
AB1125,18,2114 5. Partnerships, limited liability companies, and tax-option corporations may
15not claim the credit under this subsection, but the eligibility for, and the amount of,
16the credit are based on their payment of amounts under par. (b). A partnership,
17limited liability company, or tax-option corporation shall compute the amount of
18credit that each of its partners, members, or shareholders may claim and shall
19provide that information to each of them. Partners, members of limited liability
20companies, and shareholders of tax-option corporations may claim the credit in
21proportion to their ownership interests.
AB1125,18,2322 (d) Administration. 1. Subsection (4) (e) to (h), as it applies to the credit under
23sub. (4), applies to the credits under this subsection.
AB1125,19,7242. Any person, including a nonprofit entity described in section 501 (c) (3) of the
25Internal Revenue Code, may sell or otherwise transfer a credit under this subsection,

1in whole or in part, to another person who is subject to the taxes imposed under s.
271.02, 71.23, or 71.43, if the person notifies the department of the transfer, and
3submits with the notification a copy of the transfer documents, and the department
4certifies ownership of the credit. The transferee may first use the credit to offset tax
5of the transferor in the taxable year in which the transfer occurs and may use the
6credit only to offset tax in taxable years in which the credit is otherwise allowed to
7be claimed and carried forward by the original claimant.
AB1125,15 8Section 15. 71.30 (3) (epr) of the statutes is created to read:
AB1125,19,99 71.30 (3) (epr) Film production company investment credit under s. 71.28 (5h).
AB1125,16 10Section 16. 71.30 (3) (eps) of the statutes is created to read:
AB1125,19,1111 71.30 (3) (eps) Film production services credit under s. 71.28 (5f) (b) 1. and 3.
AB1125,17 12Section 17. 71.30 (3) (f) of the statutes is amended to read:
AB1125,19,1813 71.30 (3) (f) The total of farmland preservation credit under subch. IX, jobs
14credit under s. 71.28 (3q), enterprise zone jobs credit under s. 71.28 (3w), electronics
15and information technology manufacturing zone credit under s. 71.28 (3wm),
16business development credit under s. 71.28 (3y), research credit under s. 71.28 (4) (k)
171., film production services credit under s. 71.28 (5f) (b) 2., and estimated tax
18payments under s. 71.29.
AB1125,18 19Section 18. 71.34 (1k) (g) of the statutes is amended to read:
AB1125,19,2320 71.34 (1k) (g) An addition shall be made for credits computed by a tax-option
21corporation under s. 71.28 (1dm), (1dx), (1dy), (3), (3g), (3h), (3n), (3q), (3t), (3w),
22(3wm), (3y), (4), (5), (5e), (5f), (5g), (5h), (5i), (5j), (5k), (5r), (5rm), (6n), and (10) and
23passed through to shareholders.
AB1125,19 24Section 19. 71.45 (2) (a) 10. of the statutes is amended to read:
AB1125,20,7
171.45 (2) (a) 10. By adding to federal taxable income the amount of credit
2computed under s. 71.47 (1dm) to (1dy), (3g), (3h), (3n), (3q), (3w), (3y), (5e), (5f), (5g),
3(5h), (5i), (5j), (5k), (5r), (5rm), (6n), and (10) and not passed through by a
4partnership, limited liability company, or tax-option corporation that has added that
5amount to the partnership's, limited liability company's, or tax-option corporation's
6income under s. 71.21 (4) or 71.34 (1k) (g) and the amount of credit computed under
7s. 71.47 (3), (3t), (4), (4m), and (5).
AB1125,20 8Section 20. 71.47 (5f) of the statutes is created to read:
AB1125,20,99 71.47 (5f) Film production services credit. (a) Definitions. In this subsection:
AB1125,20,1610 1. “Accredited production" means a film, video, broadcast advertisement, or
11television production, as approved by the state film office, for which the aggregate
12salary and wages included in the cost of the production for the period ending 12
13months after the month in which the principal filming or taping of the production
14begins exceeds $100,000 for a production that is 30 minutes or longer or $50,000 for
15a production that is less than 30 minutes. “Accredited production" does not include
16any of the following, regardless of the production costs:
AB1125,20,1817 a. News, current events, or public programming or a program that includes
18weather or market reports.
AB1125,20,1919 b. A talk show.
AB1125,20,2020 c. A production with respect to a questionnaire or contest.
AB1125,20,2121 d. A sports event or sports activity.
AB1125,20,2222 e. A gala presentation or awards show.
AB1125,20,2323 f. A finished production that solicits funds.
AB1125,21,3
1g. A production for which the production company is required under 18 USC
22257
to maintain records with respect to a performer portrayed in a single media or
3multimedia program.
AB1125,21,54 h. A production produced primarily for industrial, corporate, or institutional
5purposes.
AB1125,21,116 2. “Claimant" means a film production company, as defined in sub. (5h) (a) 2.,
7that operates an accredited production in this state, if the company owns the
8copyright in the accredited production or has contracted directly with the copyright
9owner or a person acting on the owner's behalf and if the company has a viable plan,
10as determined by the state film office, for the commercial distribution of the finished
11production.
AB1125,21,1612 3. “Commercial domicile" means the location from which a trade or business
13is principally managed and directed, based on any factors the state film office
14determines are appropriate, including the location where the greatest number of
15employees of the trade or business work, the trade or business has its office or base
16of operations, or from which the employees are directed or controlled.
AB1125,22,717 4. “Production expenditures" means any expenditure that is incurred in this
18state and directly used to produce an accredited production, including expenditures
19for writing, budgeting, casting, location scouts, set construction and operation,
20wardrobes, makeup, clothing accessories, photography, sound recording, sound
21synchronization, sound mixing, lighting, editing, film processing, film transferring,
22special effects, visual effects, renting or leasing facilities or equipment, renting or
23leasing motor vehicles, food, lodging, and any other similar pre-production,
24production, and post-production expenditure as determined by the state film office.
25“Production expenditures" includes expenditures for music that is performed,

1composed, or recorded by a musician who is a resident of this state or published or
2distributed by an entity that has its commercial domicile in this state; air travel that
3is purchased from a travel agency or company that has its commercial domicile in
4this state; and insurance that is purchased from an insurance agency or company
5that has its commercial domicile in this state. “Production expenditures" does not
6include salary or wages or expenditures for the marketing and distribution of an
7accredited production.
AB1125,22,108 (b) Filing claims. Subject to the limitations provided in this subsection, for
9taxable years beginning after December 31, 2023, a claimant may claim as a credit
10against the tax imposed under s. 71.43 any of the following amounts:
AB1125,22,1411 1. An amount equal to 25 percent of the salary or wages paid by the claimant
12to the claimant's employees in the taxable year for services rendered in this state to
13produce an accredited production and paid to employees who were residents of this
14state at the time that they were paid.
AB1125,22,1615 2. An amount equal to 25 percent of the production expenditures paid by the
16claimant in the taxable year to produce an accredited production.
AB1125,22,2117 3. An amount equal to the taxes imposed under ss. 77.52 and 77.53 that the
18claimant paid in the taxable year on the purchase of tangible personal property and
19taxable services that are used directly in producing an accredited production in this
20state, including all stages from the final script stage to the distribution of the finished
21production.
AB1125,22,2522 (c) Limitations. 1. No amount of the salary or wages paid under par. (b) 1. may
23be the basis for a credit under this subsection unless the salary or wages are paid for
24services rendered after December 31, 2023, and directly incurred to produce the
25accredited production.
AB1125,23,6
12. The total amount of the credits that may be claimed by a claimant under par.
2(b) 1. shall not exceed an amount equal to the first $250,000 of salary or wages paid
3to each of the claimant's employees, as described in par. (b) 1., in the taxable year,
4not including the salary or wages paid to the claimant's 2 highest-paid employees,
5as described in par. (b) 1., in the taxable year, if the claimant's budgeted production
6expenditures are $1,000,000 or more.
AB1125,23,107 3. No credit may be allowed under this subsection unless the claimant files an
8application with the state film office, at the time and in the manner prescribed by the
9office, and the office approves the application. The claimant shall submit a copy of
10the approved application with the claimant's return.
AB1125,23,1811 4. Partnerships, limited liability companies, and tax-option corporations may
12not claim the credit under this subsection, but the eligibility for, and the amount of,
13the credit are based on their payment of amounts under par. (b). A partnership,
14limited liability company, or tax-option corporation shall compute the amount of
15credit that each of its partners, members, or shareholders may claim and shall
16provide that information to each of them. Partners, members of limited liability
17companies, and shareholders of tax-option corporations may claim the credit in
18proportion to their ownership interest.
AB1125,23,2219 (d) Administration. 1. Section 71.28 (4) (e), (g), and (h), as it applies to the
20credit under s. 71.28 (4), applies to the credits under this subsection. Section 71.28
21(4) (f), as it applies to the credit under s. 71.28 (4), applies to the credits under par.
22(b) 1. and 3.
AB1125,24,223 2. If the allowable amount of the claim under par. (b) 2. exceeds the tax
24otherwise due under s. 71.43 or no tax is due under s. 71.43, the amount of the claim
25not used to offset the tax due shall be certified by the department of revenue to the

1department of administration for payment by check, share draft, or other draft
2drawn from the appropriation account under s. 20.835 (2) (bm).
AB1125,24,1133. Any person, including a nonprofit entity described in section 501 (c) (3) of the
4Internal Revenue Code, may sell or otherwise transfer a credit under this subsection,
5in whole or in part, to another person who is subject to the taxes imposed under s.
671.02, 71.23, or 71.43, if the person notifies the department of the transfer, and
7submits with the notification a copy of the transfer documents, and the department
8certifies ownership of the credit. The transferee may first use the credit to offset tax
9of the transferor in the taxable year in which the transfer occurs and may use the
10credit only to offset tax in taxable years in which the credit is otherwise allowed to
11be claimed and carried forward by the original claimant.
AB1125,21 12Section 21. 71.47 (5h) of the statutes is created to read:
AB1125,24,1413 71.47 (5h) Film production company investment credit. (a) Definitions. In
14this subsection:
AB1125,24,1615 1. “Claimant" means a person who files a claim under this subsection and who
16does business in this state as a film production company.
AB1125,24,1917 2. “Film production company" means an entity that creates films, videos,
18broadcast advertisement, or television productions, not including the productions
19described under sub. (5f) (a) 1. a. to h.
AB1125,24,2220 3. “Physical work" does not include preliminary activities such as planning,
21designing, securing financing, researching, developing specifications, or stabilizing
22property to prevent deterioration.
AB1125,25,223 4. “Previously owned property" means real property that the claimant or a
24related person owned during the 2 years prior to doing business in this state as a film
25production company and for which the claimant may not deduct a loss from the sale

1of the property to, or an exchange of the property with, the related person under
2section 267 of the Internal Revenue Code.
AB1125,25,43 5. “Used exclusively" means used to the exclusion of all other uses except for
4other use not exceeding 5 percent of total use.
AB1125,25,105 (b) Filing claims. Subject to the limitations provided in this subsection, for
6taxable years beginning after December 31, 2023, a claimant may claim as a credit
7against the tax imposed under s. 71.43, up to the amount of the taxes, for the first
83 taxable years that the claimant is doing business in this state as a film production
9company, an amount that is equal to 25 percent of the following that the claimant
10paid in the taxable year to establish a film production company in this state:
AB1125,25,1111 1. The purchase price of depreciable, tangible personal property.
AB1125,25,1312 2. The amount expended to acquire, construct, rehabilitate, remodel, or repair
13real property.
AB1125,25,1614 (c) Limitations. 1. A claimant may claim the credit under par. (b) 1., if the
15tangible personal property is purchased after December 31, 2023, and the personal
16property is used exclusively in the claimant's business as a film production company.
AB1125,25,2117 2. A claimant may claim the credit under par. (b) 2. for an amount expended
18to construct, rehabilitate, remodel, or repair real property, if the claimant began the
19physical work of construction, rehabilitation, remodeling, or repair, or any
20demolition or destruction in preparation for the physical work, after December 31,
212023, or if the completed project is placed in service after December 31, 2023.
AB1125,25,2522 3. A claimant may claim the credit under par. (b) 2. for an amount expended
23to acquire real property, if the property is not previously owned property and if the
24claimant acquires the property after December 31, 2023, or if the completed project
25is placed in service after December 31, 2023.
AB1125,26,4
14. No claim may be allowed under this subsection unless the state film office
2certifies, in writing, that the credits claimed under this subsection are for expenses
3related to establishing a film production company in this state and the claimant
4submits a copy of the certification with the claimant's return.
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