Leading Republican senator calls for expansion of film tax credit
HARRISBURG — The Senate majority leader said Thursday he'll introduce legislation to expand Pennsylvania's film tax credit, which gives producers a tax break for filming in the state.
Dominic Pileggi's bill would seek to “uncap” the tax credit that is limited to $60 million a year, his office said.
The program, started in 2004, has “created an industry” in Pennsylvania, said Pileggi, R-Delaware County. Data from 2011, the latest available, shows Pennsylvania ranked fifth among the states in film-related employment, with film-related wages totaling $248 million.
“The film tax credit is a strong tool for job creation generally, and it's proven to be a tremendous way for Pennsylvania to fight ‘brain drain' in particular,” Pileggi said. “One of the reasons I'm introducing this bill is to help reverse the decades-long trend of Pennsylvania losing talented young people to other states.”
The state Independent Fiscal Office issued a report saying that lifting the cap on the tax credit would have significant economic impact during the next year, at minimal cost to the state.
To qualify for credit, a production must incur at least 60 percent of its expenses in Pennsylvania. The amount of credit is equal to 25 percent of qualified production expenses.
As the second-highest ranking Republican, the party that controls the Legislature, Pileggi's bill has a solid chance for passage.
The bill would create a tax credit for video game production and provide incentive for post-production work by film and television producers, he said.
The film tax credit was initiated under former Democratic Gov. Ed Rendell. Despite a $4 billion deficit in 2011, Republican Gov. Tom Corbett continued the credit.
Brad Bumsted is Trib Total Media's state Capitol reporter. Reach him at 717-787-1405 or email@example.com.
TribLive commenting policy
You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.
We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.
While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.
We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments â either by the same reader or different readers.
We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.
We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.
We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.
We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.