Film tax credit aims to spur movie production in Illinois

[May 24, 2022] By Kevin Bessler | The Center Square

(The Center Square) – An already thriving film and television show industry in Illinois will get an additional boost in July from taxpayers.

Established in 2008, the Illinois Film Production Tax Credit provides a 30% tax credit for all qualified expenditures, including resident cast, crew and vendor costs.

The program will expand to a $500,000 cap for eligible candidates, including both resident and nonresident compensation. Previously, the incentive only covered $100,000 for resident filmmakers.

Sarah Cayce, who runs Compass Casting, said using local talent for film production creates a trickle down effect for the Illinois economy.

“It's jobs everywhere because film requires a lot,” Cayce said. “It requires a lot of support, and space, and food and material, so yes, it would create a lot of jobs and continues to create a lot of jobs.”

Critics of such tax credits call them corporate welfare, say it's government inappropriately picking winners and losers among industries, and argue that overall tax reform is better for the economy and will lead to more overall job creation.

Included in the credit expansion is the establishment of a workforce training program for people interested in film.

Over the years, several productions have been filmed in Illinois, including the Batman movies where parts of the Gotham City scenes were shot in Chicago. Last year, the Amazon Prime sci-fi series “Papergirls” was filmed in Wheeling, and the HBO series “Somebody Somewhere” was filmed in the Joliet/Naperville areas.
 

Cayce said the film industry is always looking for workers and this legislation will promote hiring Illinoisans.

“We might fly in a famous actor or two, but that incentive doesn’t apply to them, and the incentive is a great way to bring in additional funds for actors here in town to get paid,” Cayce said.

Illinois is currently seventh in the country for film production. California, New York and Georgia are the top three states.

According to the Illinois Film Office website, even during the COVID-19 pandemic, films, TV shows and commercials generated more than $360 million in the state and more than 7,000 jobs in 2020.

Kevin Bessler reports on statewide issues in Illinois for the Center Square. He has over 30 years of experience in radio news reporting throughout the Midwest.