State-by-state production incentives
Oregon
| Oregon | |
| Incentive Type | Rebate |
| Incentives Highlights | Two programs exist; 20% rebate for local goods and services and 10% rebate for wages (residents and non-residents) paid less than $1M qualify for the Oregon Production Investment Fund (OPIF) and 6.2% rebate for wages under the Greenlight Oregon Labor Rebate (GOLR) |
| Eligible Projects | Films, television pilots, series and commercials |
| Minimum Spend | $750,000 for OPIF, $1M for GOLR. |
| Production Cap or Annual Cap | $5M annual funding for OPIF (10% labor and 20% goods and services) No cap for 6.2% GOLR. |
| Application/Reporting Requirements | Application should be submitted prior to the start of production. |
| Loan-Out Reg Required? | Yes |
| CPA Audit? | State might require. |
The Oregon Governor’s Office of Film & Television
Vince Porter, Executive Director
vince@oregonfilm.org
t: (503) 229-5832
f: (503) 229-6869
www.oregonfilm.org
Oregon Media Production Directory:
http://sourceoregon.com/directory/
Northwest Production Index:
www.nwfilm.com
OVERVIEW
Oregon’s incentive provides a 20% rebate on all in-state expenditures for goods and services, plus a labor rebate of 16.2% on all cast and crew (resident and non-resident), for whom Oregon withholding applies. The labor rate consists of two components: a 10% rebate from the Oregon Production Investment Fund (OPIF), which requires a minimum in-state spend of $750,000 to qualify, and 6.2% from Greenlight Oregon, which requires a minimum of $1 million to be spent in the state. New legislation provides for a “local filmmaker” incentive under the OPIF program for projects with Oregon spend of $75,000, but less than $750,000; plus 80% of the payroll must be for Oregon residents. There is no per-project cap but there is an annual cap of $6 million per fiscal year.
Note that OPIF is funded by Oregon residents who purchase shares in the Fund.
While the employer’s portion of state and federal taxes do not qualify for the incentive, pension, health and welfare contributions along with the full amount of meal and hotel per diems do qualify for both residents and non-residents performing services in Oregon.
There are 231 fee-free State parks, and there is no sales tax on anything. Lodging taxes are waived for rooms held longer than 30 days, and a parking rebate fee is available.
No funds will be available until July 1, 2013.
DETAILS
Unless otherwise permitted by the Oregon Film and Video Office (OFVO), applications must be submitted prior to the start of production.
The 10% rebate is based on payments made for employee salaries, wages, and benefits for work done in Oregon. The 6.2% rebate is based solely on actual wages. In order to claim the 6.2% rebate, the production company must (1) submit an application to OFVO within 10 business days of the start of pre-production in Oregon and, (2) withhold and pay, to the Oregon Department of Revenue, a minimum aggregate amount of 6.2% of the qualifying compensation. The 20% rebate is based on all other actual expenses paid in Oregon, including costs paid for principal photography, production and post-production in Oregon. Amounts paid by the production company to an individual who receives compensation in excess of $1 million are excluded and ineligible for a rebate.
The OFVO will approve applications for eligibility if the production: meets the non-monetary portions of the “qualifying film or television production” definition; is reasonably anticipated to reach the minimum spend requirement of $750,000; includes a letter to the OFVO stating the producer’s intent to film the production in Oregon and its willingness and ability to enter into a contract with the OFVO setting forth the terms and conditions of the rebate.
The OFVO may deduct reasonable costs incurred by the OFVO in verifying the production expenditures in Oregon, including the costs of an outside accounting firm to review the production’s financial records.