Film & TV Tax Credit Program 3.0
Tax Credit Program 3.0
Qualified Expenditure Chart
The chart below is intended as a helpful guide – it is not an exact list of qualified expenditures. Expenditures during pre-production, production, and post-production are qualified – not for development, marketing, publicity, or distribution costs. Any expenditures incurred prior to issuance of the tax credit allocation letter are not qualified expenditures.
Qualified expenditures qualify for tax credits. In order for purchases and rentals to qualify, they must be purchased or rented and used in the state. For wages to qualify, all services must be performed in the state. Suggested tags for qualified wages, non-wages, and non-qualified expenditures are listed on the chart below.
It is advisable to set up budgets with the fringe breakdown in the qualified expenditure chart as federal fringes and others must be excluded from California tax credit calculations. Non-Qualifying fringe must be separated or zero’ d out when creating the Qualified Expenditure budget. Calculations must match those entered on the CFC Fringe Matrix.