AB50,134321Section 1343. 71.28 (4) (k) 1. c. of the statutes is amended to read:
AB50,707,32271.28 (4) (k) 1. c. For taxable years beginning after December 31, 2023, the
23amount of the claim not used to offset the tax due, not to exceed 25 percent of the
24allowable amount of the claim under par. (ad) 4., 5., or 6., or 7., shall be certified by

1the department of revenue to the department of administration for payment by
2check, share draft, or other draft drawn from the appropriation account under s.
320.835 (2) (d).
AB50,13444Section 1344. 71.28 (5f) of the statutes is created to read:
AB50,707,6571.28 (5f) Film production services credit. (a) Definitions. In this
6subsection:
AB50,707,1371. Accredited production means a film, video, broadcast advertisement, or
8television production, as approved by the department of tourism, for which the
9aggregate salary and wages included in the cost of the production for the period
10ending 12 months after the month in which the principal filming or taping of the
11production begins exceeds $100,000 for a production that is 30 minutes or longer or
12$50,000 for a production that is less than 30 minutes. Accredited production does
13not include any of the following, regardless of the production costs:
AB50,707,1514a. News, current events, or public programming or a program that includes
15weather or market reports.
AB50,707,1616b. A talk show.
AB50,707,1717c. A production with respect to a questionnaire or contest.
AB50,707,1818d. A sports event or sports activity.
AB50,707,1919e. A gala presentation or awards show.
AB50,707,2020f. A finished production that solicits funds.
AB50,707,2321g. A production for which the production company is required under 18 USC
222257 to maintain records with respect to a performer portrayed in a single media or
23multimedia program.
AB50,708,2
1h. A production produced primarily for industrial, corporate, or institutional
2purposes.
AB50,708,832. Claimant means a film production company, as defined in sub. (5h) (a) 2.,
4that operates an accredited production in this state, if the company owns the
5copyright in the accredited production or has contracted directly with the copyright
6owner or a person acting on the owners behalf and if the company has a viable plan,
7as determined by the department of tourism, for the commercial distribution of the
8finished production.
AB50,708,1393. Commercial domicile means the location from which a trade or business
10is principally managed and directed, based on any factors the department of
11tourism determines are appropriate, including the location where the greatest
12number of employees of the trade or business work, the trade or business has its
13office or base of operations, or from which the employees are directed or controlled.
AB50,709,6144. Production expenditures means any expenditure that is incurred in this
15state and directly used to produce an accredited production, including expenditures
16for writing, budgeting, casting, location scouts, set construction and operation,
17wardrobes, makeup, clothing accessories, photography, sound recording, sound
18synchronization, sound mixing, lighting, editing, film processing, film transferring,
19special effects, visual effects, renting or leasing facilities or equipment, renting or
20leasing motor vehicles, food, lodging, and any other similar pre-production,
21production, and post-production expenditure as determined by the department of
22tourism. Production expenditures includes expenditures for music that is
23performed, composed, or recorded by a musician who is a resident of this state or

1published or distributed by an entity that has its commercial domicile in this state;
2air travel that is purchased from a travel agency or company that has its commercial
3domicile in this state; and insurance that is purchased from an insurance agency or
4company that has its commercial domicile in this state. Production expenditures
5does not include salary or wages or expenditures for the marketing and distribution
6of an accredited production.
AB50,709,97(b) Filing claims. Subject to the limitations provided in this subsection, for
8taxable years beginning after December 31, 2025, a claimant may claim as a credit
9against the tax imposed under s. 71.23 any of the following amounts:
AB50,709,13101. An amount equal to 25 percent of the salary or wages paid by the claimant
11to the claimants employees in the taxable year for services rendered in this state to
12produce an accredited production and paid to employees who were residents of this
13state at the time that they were paid.
AB50,709,15142. An amount equal to 25 percent of the production expenditures paid by the
15claimant in the taxable year to produce an accredited production.
AB50,709,20163. An amount equal to the taxes imposed under ss. 77.52 and 77.53 that the
17claimant paid in the taxable year on the purchase of tangible personal property and
18taxable services that are used directly in producing an accredited production in this
19state, including all stages from the final script stage to the distribution of the
20finished production.
AB50,710,221(c) Limitations. 1. No amount of the salary or wages paid under par. (b) 1.
22may be the basis for a credit under this subsection unless the salary or wages are

1paid for services rendered after December 31, 2025, and directly incurred to
2produce the accredited production.
AB50,710,832. The total amount of the credits that may be claimed by a claimant under
4par. (b) 1. shall not exceed an amount equal to the first $250,000 of salary or wages
5paid to each of the claimants employees, as described in par. (b) 1., in the taxable
6year, not including the salary or wages paid to the claimants 2 highest-paid
7employees, as described in par. (b) 1., in the taxable year, if the claimants budgeted
8production expenditures are $1,000,000 or more.
AB50,710,1293. No credit may be allowed under this subsection unless the claimant files an
10application with the department of tourism, at the time and in the manner
11prescribed by the office, and the office approves the application. The claimant shall
12submit a copy of the approved application with the claimants return.
AB50,710,20134. Partnerships, limited liability companies, and tax-option corporations may
14not claim the credit under this subsection, but the eligibility for, and the amount of,
15the credit are based on their payment of amounts under par. (b). A partnership,
16limited liability company, or tax-option corporation shall compute the amount of
17credit that each of its partners, members, or shareholders may claim and shall
18provide that information to each of them. Partners, members of limited liability
19companies, and shareholders of tax-option corporations may claim the credit in
20proportion to their ownership interest.
AB50,710,2321(d) Administration. 1. Subsection (4) (e), (g), and (h), as it applies to the credit
22under sub. (4), applies to the credits under this subsection. Subsection (4) (f), as it
23applies to the credit under sub. (4), applies to the credits under par. (b) 1. and 3.
AB50,711,5
12. If the allowable amount of the claim under par. (b) 2. exceeds the tax
2otherwise due under s. 71.23 or no tax is due under s. 71.23, the amount of the
3claim not used to offset the tax due shall be certified by the department of revenue
4to the department of administration for payment by check, share draft, or other
5draft drawn from the appropriation account under s. 20.835 (2) (bm).
AB50,711,1463. Any person, including a nonprofit entity described in section 501 (c) (3) of
7the Internal Revenue Code, may sell or otherwise transfer a credit under this
8subsection, in whole or in part, to another person who is subject to the taxes
9imposed under s. 71.02, 71.23, or 71.43, if the person notifies the department of the
10transfer, and submits with the notification a copy of the transfer documents, and
11the department certifies ownership of the credit. The transferee may first use the
12credit to offset tax of the transferor in the taxable year in which the transfer occurs
13and may use the credit only to offset tax in taxable years in which the credit is
14otherwise allowed to be claimed and carried forward by the original claimant.
AB50,134515Section 1345. 71.28 (5h) of the statutes is created to read:
AB50,711,171671.28 (5h) Film production company investment credit. (a) Definitions.
17In this subsection: