$100 Million New York City Musical and Theatrical Production Tax Credit Launched

New York Governor Andrew Cuomo has announced the launch of the $100 million New York City Musical and Theatrical Production Tax Credit, a two-year program jump-starting the entertainment industry and support tourism in New York City.

The intent of the program is to offset some of the costs associated with producing a show as the New York City economy recovers from the COVID 19 pandemic.

The program offers tax credits of 25% of qualified production expenditures. First-year program applicants can receive up to $3 million per production. Companies applying in the second year are capped at $1.5 million, subject to economic indicators assessing the tourism industry's recovery. If indicators show that the tourism economy in New York City is not fully recovered, the cap would remain at $3 million per production.

As part of the initiative, companies must implement a New York State-approved diversity and arts jobs training plan, as well as offer increased access to productions for low-income residents. Highly successful productions will be required to contribute to the NYS Council for The Arts Cultural Program Fund, up to 50% of the tax credit.

The Program is a two-year program and companies can receive credits for tax years beginning on or after January 1, 2021 but before January 1, 2024. Initial applications must be submitted by December 31, 2022 and final applications no later than 90 days after the production closes or 90 days following the program end date of March 31, 2023, whichever comes first.

For more information on eligibility, and instructions on how to apply, click here.