Section 41-7A-43 Rebates for qualified production companies. - Alabama Statutes

Section 41-7A-43

Rebates for qualified production companies.

(a) Beginning January 1, 2009, a qualified production company shall be entitled to a rebate for production expenditures, as defined in subdivision (7) of Section 41-7A-41, related to a state-certified production. The rebate shall be equal to 25 percent of the state-certified production's production expenditures excluding payroll paid to residents of Alabama plus 35 percent of all payroll paid to residents of Alabama for the state-certified production, provided the total production expenditures for a project must equal or exceed at least five hundred thousand dollars ($500,000), but must not exceed ten million dollars ($10,000,000). A single episode in a television series shall be considered a single production project for purposes of this section.

(b) A qualified production company shall be entitled to the rebate for production expenditures as provided in subsection (a) for a qualified project that is limited only to the production of a soundtrack used in a motion picture, provided that the production expenditures for the soundtrack project must equal or exceed at least fifty thousand dollars ($50,000), but must not exceed three hundred thousand dollars ($300,000).

(c) The rebate described in this section may be applied to any income tax liability applicable to a qualified production company.

(d) If the rebate under this section exceeds a qualified production company's Alabama income tax liability, the excess of rebate over liability shall be rebated to the qualified production company.

(e) The Commissioner of the Department of Revenue shall promulgate rules necessary to administer this section.

(Act 2009-144, §4.)