{"data":{"id":"us-ky/krs-141.383","jurisdiction":"us-ky","citation":"KRS 141.383","heading":"Refundable tax credit for motion picture or entertainment production","body":"expenses -- Limitations -- Qualifications -- Reporting.\n(1) As used in this section:\n(a) \"Above-the-line production crew\" has the same meaning as in KRS 154.61 -\n010;\n(b) \"Approved company\" has the same meaning as in KRS 154.61-010;\n(c) \"Below-the-line production crew\" has the same meaning as in KRS 154.61 -\n010;\n(d) \"Continuous film production\" has the same meaning as in KRS 154.61-010;\n(e) \"Council\" means the Kentucky  Film Leadership Council created in KRS\n154.12-282;\n(f) \"Loan-out entity\" has the same meaning as in KRS 154.61-010;\n(g) \"Office\" means the Kentucky Film Office created in KRS 154.12-280;\n(h) \"Qualifying expenditure\" has the same meaning as in KRS 154.61-010;\n(i) \"Qualifying payroll expenditure\" has the same meaning as in KRS 154.61 -\n010;\n(j) \"Secretary\" has the same meaning as in KRS 154.61-010; and\n(k) \"Tax incentive agreement\" has the same meaning as in KRS 154.61-010.\n(2) (a) There is hereby created a tax credit against the tax imposed under KRS\n141.020 or 141.040 and 141.0401, with the ordering of credits as provided in\nKRS 141.0205.\n(b) The incentive available under paragraph (a) of this section is:\n1. A refundable credit for applications approved prior to April 27, 2018;\n2. A nonrefundable and nontransferable credit for applications approved on\nor after April 27, 2018, but before January 1, 2022; and\n3. A refundable credit for applications approved on or after January 1,\n2022, if the provisions of paragraph (c) of this subsection are met.\n(c) 1. The total tax incentive approved under KRS 154.61 -020 shall be limited\nto:\na. Seventy-five million dollars ($75,000,000) for the calendar year\n2022 and each calendar year thereafter;\nb. Beginning with calendar year 2024, the amount in subdivision a.\nof this subparagraph shall be allocated accordingly:\ni. Twenty-five million dollars ($25,000,000) shall be alloca ted\nfor all approved companies with a continuous film\nproduction; and\nii. On the first day of April 2025, and on April 1 of each\ncalendar year thereafter, any unused balance allocated under\nsubpart i. of this subdivision for continuous film productions\nshall be made available for all approved companies with a\nmotion picture or entertainment production; and\nc. i. Beginning with calendar year 2026, any unallocated balance\nof the amount allocated in subdivision a. of this\nsubparagraph for the previous calendar  year shall carry\nforward into the subsequent calendar year to be made\navailable for approved companies with high -impact motion\npictures, continuous film productions, or entertainment\nproductions.\nii. For purposes of this subdivision and KRS 154.61 -020 the\ndetermination of a high -impact motion picture or\nentertainment production shall be based upon criteria\nestablished in administrative regulations promulgated under\nKRS 154.61-020(4)(c).\n2. To qualify for the refundable credit, all applicants shall:\na. Begin filming or production in Kentucky within one hundred\neighty (180) days of approval by the office; and\nb. Complete filming or production in Kentucky within two (2) years\nof their production start date.\n(3) An approved company may receive a refundable tax credit if:\n(a) The department has received notification from the office that the approved\ncompany has satisfied all requirements of KRS 154.61 -020 and 154.61 -030;\nand\n(b) The approved company has provided a detailed cost report and sufficient\ndocumentation to the office, which has been forwarded by the office to the\ndepartment, that:\n1. The purchases of qualifying expenditures were made after the execution\nof the tax incentive agreement; and\n2. The approved company or loan -out entity has withheld income tax  as\nrequired by KRS 141.310 on all qualified payroll expenditures, and\nremitted and certified the withheld amount to the department.\n(4) Interest shall not be allowed or paid on any refundable credits provided under this\nsection.\n(5) The department may promulgate administrative regulations under KRS Chapter\n13A to administer this section.\n(6) On or before September 1, 2010, and on or before ea ch September 1 thereafter, for\nthe immediately preceding fiscal year, the department shall report to the office and\nthe Interim Joint Committee on Appropriations and Revenue the names of the\napproved companies and the amounts of refundable income tax credit claimed.\n(7) No later than September 1, 2021, and by November 1 every four (4) years\nthereafter, the department and the Cabinet for Economic Development shall\ncooperatively provide historical data related to the tax credit allowed in this section\nand KRS  154.61-020 and 154.61 -030, including data items beginning with tax\ncredits claimed for taxable years beginning on or after January 1, 2018:\n(a) The name of the taxpayer claiming the tax credit;\n(b) The date that the application was approved and the date t he filming or\nproduction was completed;\n(c) The taxable year in which the taxpayer claimed the tax credit;\n(d) The total amount of the tax credit, including any amount denied, any amount\napplied against a tax liability, any amount refunded, and any amount\nremaining that may be claimed on a return filed in the future;\n(e) Whether the taxpayer is a Kentucky -based company as defined in KRS\n154.61-010;\n(f) Whether the taxpayer films or produces a:\n1. Feature-length film, television program, industrial film, vid eo game,\nmusic video, or commercial;\n2. National touring production of a Broadway show; or\n3. Documentary;\n(g) Whether the filming or production was performed:\n1. Entirely in a heritage county; or\n2. In whole or in part in any Kentucky county other than in  a heritage\ncounty;\n(h) The amount of qualifying expenditures incurred by the taxpayer;\n(i) The amount of qualifying payroll expenditures paid to:\n1. Resident below-the-line crew; and\n2. Nonresident below-the-line production crew;\nincluding the number of crew members in each category;\n(j) The amount of qualifying payroll expenditures paid to:\n1. Resident above-the-line crew; and\n2. Nonresident above-the-line crew;\nincluding the number of crew members in each category; and\n(k) A brief description of the ty pe of motion picture or entertainment production\nproject.\n(8) The information required to be reported under this section shall not be considered\nconfidential taxpayer information and shall not be subject to KRS Chapter 131 or\nany other provisions of the Ke ntucky Revised Statutes prohibiting disclosure or\nreporting of information.","path":["KRS Chapter 141"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=58149","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:34Z","sha256":"c19e2dd5ef641f82e5ee5c0bef618fb329aafc6ab9c609b8d3ae80ccf3695f95","source_id":"us-ky","stale":false,"prev":"us-ky/krs-141.3821","next":"us-ky/krs-141.384"},"notice":"GroundRules: Original legal text. Not legal advice."}