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Indiana law offers tax credits to film industry, aims to boost local productions

The law grants a $250,000 tax credit to filmmakers who shoot a film in Indiana. However, those advocated for growth in the local film industry caution that there are significant restrictions.
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INDIANAPOLIS — Cameras have long served as a medium to tell stories that often go unnoticed. For filmmakers, it is their livelihood, and a recently signed bill by the governor is set to help grow filmmaking in Indiana.

“The bill has been in the making for a really long time, and the great thing about it is that now the tax credits that are going to be available for film production are going to be transferable,” said Polina Osherov, executive director at Pattern.

The law grants a $250,000 tax credit to filmmakers who shoot a film in Indiana. However, those advocated for the new law caution that there are significant restrictions.

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SB 306 is a great step in the right direction, but I feel like we need to continue to grow it and evolve it and help put some definitions and amendments there that make those incentives and credits more readily available for a wider variety of projects,” said Rocky Walls, co-founder of 12 Stars Media.

One limitation of the new tax credits is that they do not apply to filmmakers shooting advertisements, according to Pattern, an organization focused on fostering Indiana’s creative economy. This leaves the credits benefiting only a specific segment of filmmakers.

“The way that it’s structured really only productions above a million dollars can utilize those credits, and we just don’t have a lot of those,” Osherov noted.

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The law includes a $2 million cap; once that threshold has been reached, there are no additional credits available. In contrast, neighboring Kentucky has allocated $75 million in film credits.

“A film might come and shoot for one month and then it’s gone and doesn’t happen again for five years. We are here day in and day out sort of telling the messaging of clients and the different people in the area,” said Andrew Quinn, partner at Bayonet Media.

Quinn, who primarily films advertisements, finds the new credits unusable, but like others in the industry, he hopes this legislation is a precursor to expanded benefits in the future.

“The Indianapolis community of filmmakers is thriving, but having more tax incentives will just help it grow and become a viable economic industry,” he added.

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Indiana has a storied history of films being shot there, either partially or primarily. Here are a few notable examples:

  • "Some Came Running" (1958) starring Frank Sinatra, filmed in Madison.
  • "Brian's Song" (1971), shot at St. Joseph's College in Rensselaer.
  • "Hoosiers" (1986), which has become a classic.
  • The following year, "Eight Men Out" was filmed at the old Bush Stadium in Indianapolis.
  • "A League of Their Own" (1992), filmed in Evansville and Huntingburg.
  • "Rudy" (1993), shot at Notre Dame and around South Bend.
  • "Blue Chips" (1994), featuring Nick Nolte, filmed basketball scenes at Case Arena in Frankfort.