State-by-state production incentives
Maryland
| Maryland | |
| Incentive Type | Grant |
| Incentives Highlights | 25% rebate of qualifying expenditures, direct costs of production in the state. Maryland also offers a 6% sales tax exemption for approved purchases. |
| Eligible Projects | Films, television, pilots, series and commercials plus digital media and animation |
| Minimum Spend | $500,000 and more than 50% of spend must in MD. |
| Production Cap or Annual Cap | Annual cap of $7.5M per fiscal year, no project cap. However salaries or wages in excess of $500,000 will be disqualified in their entirety. |
| Application/Reporting Requirements | Must notify Dept. of Bus and Economic Development prior to starting. This is a grant, and decisions to fund are based on merit. |
| Loan-Out Reg Required? | No |
| CPA Audit? | Yes |
Maryland Film Office
Jack Gerbes, Director
t: (800) 333-6632
t: (410) 767-6340
f: (410) 333-0044
JGerbes@choosemaryland.org
www.marylandfilm.org/
Production Guide:
www.mdrpg.com
filminfo@marylandfilm.org
OVERVIEW
Maryland offers a refundable tax credit of 25% (27% for television) of the total direct cost of production incurred in the state. Salaries and wages of residents and non-residents making under $500,000 qualify. The film must spend at least $500,000 in the state. $7.5 million is available per fiscal year, with any unused amounts carrying forward to the next year.
DETAILS
Qualifying projects include feature films, television projects, commercials, corporate films, infomercials, music videos, digital, animation, and multimedia projects. Not included are student films, non-commercial personal videos, sports broadcasts, video games, broadcasts of live events or talk shows. Qualified costs include costs incurred for employee wages and benefits; fees for services (payroll handling fees are not included); acquiring or leasing real property or tangible or intangible personal property; and other qualified expenses necessary to carry out a film production activity.
To qualify for the rebate, the production company must notify the Department of Business and Economic Development of its intent to seek the rebate before commencing film production activity.
Additionally, Maryland offers an exemption from its 6% sales tax for purchases and rentals used in the production of the film. An application must be filed in advance; if approved, an Exemption Certificate will be issued to present to vendors, who will not charge sales tax on exempted purchases. Both on-line and printed production guides are available.