Massachusetts budget keeps film tax credit intact

BOSTON (AP) — A proposal to pare back the state’s film tax credit wound up on the cutting room floor when lawmakers approved a final version of the state budget.

The tax break, which has long generated controversy, is equal to 25 percent of a production’s in-state payroll and production costs.

The Senate version of the budget called for barring film companies from claiming salaries worth $1 million or more as an eligible expense, and increasing the amount of time or money that must be spent in Massachusetts. The amendment was dropped from a compromise budget hammered out last week by House and Senate negotiators.

Critics of the film tax credit argue it flows mostly to out-of-state production companies and highly-paid actors.

Supporters counter that movie making provides a strong boost to the local economy.

 

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