INCENTIVES

NJ Film Tax Credit Program
In the state of New Jersey the tax credit is equal to 30 percent of qualified film production expenses. In southern New Jersey Counties the tax credit increases to 35 percent of qualified film production expenses incurred for services performed and tangible personal property purchased through vendors. The vendors primary place of business must be located in Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Mercer or Salem County to qualify.

In addition, South Jersey has a Tax credit equal to 25 percent of qualified digital media production expenses incurred for services performed and tangible personal property purchased through vendors whose primary place of business is located in Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Mercer or Salem County.

Eligibility
Film Tax Credit Program:
In order for a film project to be eligible for tax credits under the NJ Film Tax Credit Program:

  • Be a feature film, a television series, or a television show of 22 minutes or more in length, intended for a national audience, or a television series or a television show of 22 minutes or more in length intended for a national or regional audience, including, but not limited to, a game show, award show, or other gala event filmed and produced at a nonprofit arts and cultural venue receiving State funding.  Productions featuring news, current events, weather, and market reports or public programming, talk show, sports event, or reality show, a production that solicits funds, a production containing obscene material as defined under N.J.S.2C:34-2 and N.J.S.2C:34-3, or a production primarily for private, industrial, corporate, or institutional purposes are not eligible for film tax credits. Meet one of the following expense eligibility thresholds:
  • 60 percent of the total film production expenses (exclusive of post -production costs) must be incurred for services and goods purchased through vendors authorized to do business in New Jersey.
  • Qualified film production expenses (expenses incurred in New Jersey for the production of a film) must exceed $1 million per production.
  • End credits must include “Filmed in New Jersey” statement or logo.
  • Once a film project is approved by the NJEDA Board for a tax credit, principal photography of the project must commence within 180 days of application or 150 days of the date of EDA Board approval, whichever is sooner.
  • “Reality shows”, which are otherwise ineligible, may be eligible for the Film Tax Credit Program if the production company of the reality show owns, leases, or otherwise occupies a production facility of at least 20,000 square feet in an Urban Enterprise Zone for at least two years, and, after July 1, 2018, makes a capital investment of at least $3 million in that facility.

Digital Media Tax Credit Program:

  • In order for a film project to be eligible for tax credits under the NJ Digital Media Tax Credit Program, at least $2 million of the total digital media production expenses must be incurred for services performed and goods purchased through vendors authorized to do business in New Jersey and at least 50 percent of the qualified digital media content production expenses must be for wages and salaries paid to full-time employees in New Jersey.

Diversity Plan:
The primary objective of the 2% Diversity Tax Credit is to stimulate job growth by encouraging film productions to employ the services of women and minority persons.

To learn more visit https://www.nj.gov/state/njfilm/njfilm-financial-incentives.html