The move comes three years after then-Gov. Chris Christie allowed the previous program to expire.
Lights, camera … tax credits.
More on Inewsguru:
- Nancy Pelosi Urges Democrats to Support Her as Leader in the New Congress
- AIM Events Now Offers Lifestyle Memberships With Over 100+ Benefits!
- The Evolution of the Largest Stock Photo Wesbite
- Laser-assisted Liposuction (LAL) Equipment Market Size, Trends, Sales and Analysis by 2025
- Indonesia Cold Chain (Cold Transport and Storage) Market Outlook to 2021: Ken Research
Film and digital media companies can once again take advantage of million of dollars in tax credits if they shoot in New Jersey, under a law Gov. Phil Murphy signed Tuesday.
The Republican governor called it expensive and was also critical of tax credits given to “Jersey Shore,” the reality TV show starring Snooki and the Situation that Christie said relied on stereotypes of the Garden State.
But Murphy said the new law — dubbed the “Garden State Film and Digital Media Jobs Act” — will spur economic growth and industry development in New Jersey.
More on Inewsguru:
- The Renowned Soosieaudo Is Back With His Hypnotising Tracks for the Audience
- Masters India E-Way bill solutions easing compliance for businesses
- Fascination with Nature Inspired Retired Teacher to Publish Poetry Collection
- Her emotional video went viral. Now, single mom is cancer-free
- NBCC Heights – One Of The Best Housing Society Project To Invest In
“The film and digital media industry is poised to become a dynamic part of New Jersey’s economy, one that will create good-paying union jobs and countless residual benefits to the economy,” Murphy said in a statement. “By signing this legislation, we are allowing these companies to take advantage of New Jersey’s unique culture, location, and geography.”
The law (S122) — which takes effect immediately — allows film companies to apply for savings of 30 percent on their expenses from 2019 to 2023 if they film in the upper half of the state. It allows them up to 35 percent if they choose to film in the counties of Atlantic, Burlington, Camden, Cape May, Cumberland, Gloucester, Mercer, or Salem.
Digital companies could apply for 20 percent, or 25 percent if they choose south Jersey.
The program will cap the credits at $75 million a year for film productions between 2019 and 2023. That’s up from $10 million under the previous program, which expired in 2015.
Digital productions are capped at $10 million a year.
The nonpartisan state Office of Legislative Services estimates the program will cost New Jersey $85 million a year — or $425 million over five years — in lost tax revenue.
But the office said it “might accrue an indeterminate revenue gain to affected local governments if the bill results in digital media content or film production activity that would not be undertaken absent the assistance.”
State Senate Majority Leader Loretta Weinberg, D-Bergen, noted that the film industry has “deep roots” in New Jersey, with Fort Lee serving as the precursor to Hollywood at the turn of the 20th century.
“These credits will ensure that New Jersey remains a player in this constantly evolving industry,” Weinberg, a main sponsor of the bill, added.
State Assemblyman Gordon Johnson, D-Bergen said not only will the law “bring more jobs and revenue” to New Jersey, but “crew members will then eat, sleep, and do countless other things in our great state.”
Both houses of the Democrat-controlled state Legislature passed the bill in April — the state Senate 31-3 and the Assembly 59-14.
Murphy, a Democrat, signed the bill even though he repeatedly criticized Christie during last year’s campaign for giving out too many tax credits to corporations in the state.
Murphy actually conditionally vetoed the measure in May to make sure reality shows would be included.
“Cake Boss” star Buddy Valastro, whose bakery is based in Hoboken, and Jersey City Mayor Steve Fulop lobbied for the change, according to a report by Politico. The law Murphy signed Tuesday includes reality shows.
The issue dates to 2011, when the previous film tax credit program gave $420,000 to MTV’s “Jersey Shore” for production of its first season. But Christie killed it.
“I have no interest in policing the content of such projects,” he said at the time. “However, as chief executive I am duty-bound to ensure that taxpayers are not footing a $420,000 bill for a project which does nothing more than perpetuate misconceptions about the state and its citizens.”
The new law would not benefit the new version of “Jersey Shore” on the air. That is set in Miami.
NJ Advance Media staff writer Samantha Marcus contributed to this report.
Latest on Inewsguru:
- The best Nespresso machines of 2018
- Anaiv Capital Announces Partnership with 2 Leading US Escrow Agents to Expand Bitcoin Escrow Service
- MachPrinciple announces the launch of its professional Network in India
- Groovyhooman Launches The Token Sale Of The GHT Token
- Health -Fitness Expert Bringing a Holistic Approach to Nutrition