Arizona’s New Budget-friendly TV & Film Tax Credits

Your camera will love our locations.

Your budget will love our new incentives.

Arizona is now taking applications for the new budget-friendly film incentive which provides a refundable tax credit for the Motion Picture Industry based on qualified expenses and the construction of qualified production facilities.

This new program:  

• Creates a refundable tax credit on the total amount of qualified production costs that is equal to:
  • 15 percent for a motion picture production company that spends up to $10 million;
  • 17.5 percent for a motion picture production company that spends more than $10 million but less than $35 million;
  • 20 percent for a motion picture production company that spends more than $35 million;
• Allows for additional bumps, as follows:
  • 2.5 percent on below-the-line resident labor costs;
  • 2.5 percent of the total amount of qualified production costs if:
    • The production company uses a qualified production facility in the state to produce the motion picture production; or,
    • The production company films primarily at a practical location produces and films the project primarily in Arizona and performs ALL preproduction, postproduction, and editing at an in-state qualified production facility;
  • 2.5 percent of the total amount of qualified production costs if the production is produced and filmed in association with a “long-term tenant”, as defined, of a qualified production facility;
• Establishes the following amount of tax credits that may be preapproved in each calendar year:
  • 2023, $75 million;
  • 2024, $100 million;
  • 2025 and thereafter, $125 million;
• Limits the amount of tax credits that may be awarded to projects that qualify for the program by filming primarily at a practical location in Arizona, produce and film the motion picture production primarily in Arizona and perform ALL preproduction, postproduction, and editing at an industry-standard facility in Arizona, if such a facility is available, to $25 million in each calendar year;
• Qualifies resident and nonresident above-the-line and below-the-line labor costs;
• Requirements:
  • To qualify for the program a motion picture must do either of the following:
    • Use a qualified in-state production facility to produce the motion picture production; or
    • If the motion picture is filmed primarily at a practical location, produce and film the motion picture production primarily in Arizona and perform ALL preproduction, postproduction, and editing at an industry-standard facility in Arizona, if such a facility is available;
  • Maintain the production company’s production labor positions in Arizona;
  • Include in the credits an acknowledgment that the production was filmed in Arizona;
  • Provide an audited statement completed by an in-state certified public accountant; and,
• Establishes a sunset date of December 31, 2043.

Questions about the incentives? Call Cindy Grogan of the Arizona Commerce Authority at 602.845.1221 or e-mail her at: cindyg@azcommerce.com.

Questions about filming in Tucson? Call Peter Catalanotte, Director of Film Tucson on his cell at 520.349.4729 or e-mail him at: pcatalanotte@visitTucson.org.

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Film Tucson offers the following services:

Scouting — Assistance with location scouting, photography, and contacts.

Liaison — Work with city, county, state and federal agencies as well as institutions and assist with individual property owners to coordinate neighborhood needs.

Production — Provide information on accommodations, equipment, crew and local suppliers. We are available 24 hours a day to troubleshoot issues.

Additionally, we provide no-fee permits, production manuals which include professionally skilled crew and reliable information regarding a Tucson shoot. We can personally assist with location scoutings as well as coordinate arrangements with Fire, Police, and Traffic Engineering Department personnel. We strive to make your location filming an efficient, cost-effective and enjoyable experience. Whatever your budget or production needs may be, Film Tucson is willing to assist you. Watch our clip reel, Tucson On Film, to see for yourself the legacy of film in Southern Arizona. Visit us on Facebook for the current film news and all the latest info on Tucson's robust local film community.