Hollywood is looking at a new subsidy for films and TV shows, this time from Wisconsin, which joins a slew of other states that have implemented or expanded tax credit programs for productions in a tit-for-tat race to host the entertainment industry since 2021.
Gov. Tony Evers signed a state budget earlier this month that will create a film office and a 30 percent transferable credit for movies and TV shows. Under the program, $5 million will be handed out to productions annually until at least 2027.
Before the passage of the budget, Wisconsin was one of 13 states with no subsidies for the entertainment industry. The initiative was spearheaded by Sen. Julian Bradley, a Republican and former professional wrestler, signaling further bipartisan support for production tax credits to boost local economies by wooing Hollywood. Last month, Texas increased by $100 million the amount allotted to movies and TV shows every two years. With the funding greenlit through 2035, the expansion will shower as much as $1.5 billion in incentives to the industry over the next decade.
“Today, a new chapter begins for Wisconsin’s film and TV production industry,” says Eau Claire-based director Nathan Deming. “With production incentives and a state film office, Wisconsin will immediately become a destination of interest to production companies, crews, and story tellers attracted to Wisconsin’s diverse beauty, variety of settings, and industry talent.”
Under Wisconsin’s program, productions will get 30 percent of their spend back for costs incurred in the state, like set construction, postproduction and food and lodging, with a $1 million cap. It appears some above-the-line costs could count under language for production expenditures that contemplate writing and casting.
Films and TV shows of at least 30 minutes with budgets of at least $100,000 can receive incentives (the threshold is lowered to $50,000 for a production that is less than 30 minutes). Talk and awards show do not qualify.
By Deming’s thinking, Wisconsin should attract Hallmark and Christmas-themed movies, at least until the cap is increased to compete with film hubs that have eight or nine figure caps on their tax credit programs.
Movies that have shot in the state include Transformers: Dark of the Moon, Public Enemies, Mr. 3000 and Hundreds of Beavers.
“This budget provides a great start to growing Wisconsin’s film and tv industry, strengthening our overall economy, and showcasing our state on screens large and small across the country and the world,” said Katie Heil, founder of advocacy group Action! Wisconsin in a statement. “Long after production wraps and final credits roll, Wisconsin will reap the economic benefits of this investment and exposure.”