Proposed Georgia Tax Credit Cap on Tax Credit Transfers Reduced
New Georgia Tax Credit Cap Set at 2.3% of State Budget
According to Deadline, Georgia’s film and TV production, Georgia Tax Credit Cap is undergoing some changes as it moves through the government. Originally, the Georgia Tax Credit Cap bill suggested a limit on the tax credit transfers but now it’s lower. The Georgia Tax Credit Cap’s latest version lowers the cap to 2.3% of the state budget which is about $830 million.
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Exceptions Undermine Cap Effectiveness
However, some exceptions in the Georgia Tax Credit Cap bill make this cap not very effective. Productions at big Georgia studios won’t count toward the Georgia Tax Credit Cap. These studios have made huge investments or have large spaces for filming. This means they can still get tax credits even if the cap is reached. However, smaller studios might not get the same exemptions unless they’re in rural areas outside of Atlanta.