CALIFORNIA
EP Services Offered
Administration
Tax Credit Financing
Tax Credit Placement
Eligible Production Types
Animation
Commercials
Documentaries
Feature Films
Game Shows
Pilots
Post Only
Reality Television
Scripted Television
Talk Shows
Video Games
Location Production Needs
Beaches Ocean
City
Deserts
Forests
Lakes Rivers
Mountains
Rural
Snow
Suburban
Tropical
Legislation/
Guidance
| Incentive | 35% base tax credit -40% for first-season Relocating TV; certain qualified expenditures may receive additional uplifts Tax Credit |
| Related Programs | |
| Labor | |
| Resident BTL | BTL 35%; 40% for first-season Relocating TV |
| Non-Resident BTL | BTL 35%; 40% for first-season Relocating TV |
| Labor Uplifts | - VFX 5% - Out-of-Zone 5% - Local Hire Labor 10%; 5% for first-season Relocating TV Note: Local Hire Labor applies only to qualified California resident labor where the worker both resides outside the LA Zone and works outside the LA Zone. VFX and Out-of-Zone uplifts do not apply to Relocating TV or Animation. Local Hire Labor does not apply to Animation. |
| Minimum/Caps | |
| Minimum Spend | $1M minimum production budget. For TV projects, pilots, and large-scale competition shows, the minimum is generally $1M per episode. |
| Minimum Filming Days | A qualified motion picture must satisfy either 75% of total principal photography days wholly in California or 75% of the production budget utilized for goods, services, and/or wages within California. Animation projects rely on the 75% spend test because there is no principal photography. |
| Annual Cap | $750M (plus $150M/Soundstage Credit Program) |
| Application | |
Applications must be submitted via the CFC online portal during specific application windows. Application windows are grouped by category, and projects compete only against other projects in the same category through the jobs-ratio process. Any project that begins principal photography in California before acceptance into the program will be ineligible. Expenditures incurred before the Credit Allocation Letter generally do not qualify. Productions must begin principal photography within 180 days of CAL issuance, or 240 days for projects with a qualified expenditure budget of $100M or more. Animation projects are exempt from the commencement deadline. | |
| Additional Requirements | |
| Screen Credit | Yes, productions must include an on-screen acknowledgment to the State of California and the California Film Commission, plus the CFC logo in the end credits. |
| CPA Audit | Yes, an Agreed Upon Procedures report is required from a qualified CPA. |
| Loan-Out Registration | n/a |
| Income Tax Withholding | n/a |
| Sunset Date | June 30, 2030 |
| Additional Information | Tax credits are allocated each fiscal year to eligible productions according to the following designated funding categories: • TV Projects - $300M • Relocating TV Series - $112.5M • Non-Independent Feature Films - $262.5M • Independent Films - $75M • Independent films with qualified expenditures of $10M or less - $37.5M • Independent films with qualified expenditures greater than $10M - $37.5M Program 4.0 increased the base credit to 35% for most qualified productions and 40% for first-season Relocating TV. Independent films may elect transferability or refundability. Non-independent productions and TV projects are refundable/non-transferable. Eligible projects may also qualify for uplifts, including Out-of-Zone filming, VFX, and Local Hire Labor, subject to category-specific rules. Program 4.0 also added or expanded several categories, including animated features/series, pilots, new series at 20+ minutes, recurring TV, limited/miniseries, reboot series, second-season series, relocating TV series, and large-scale competition shows. DEIA All Program 4.0 applicants must submit the DEIA checklist. Separately, applicants may opt in to the additional DEIA provisions, which include a DEIA work plan and related assessments. Projects that opt in and meet their DEIA goals, or make good-faith efforts toward them, are eligible for 100% of the allocated credit. Projects that opt out, or do not meet or make good-faith efforts, may be limited to 96% of the allocated credit, subject to applicable exemptions. https://film.ca.gov/tax-credit/diversity-equity-inclusion/ Program 4.0 projects are also subject to the Safety in Productions Pilot Program and Career Pathways contribution requirements, as applicable. |
California Film CommissionColleen Bell, Executive Director 323.860.2960 | |