HB30 Alabama 2015 1st Special Session

Summary

Primary Sponsor

Johnny Mack Morrow

Democrat

Session

First Special Session 2015

Title

Entertainment Industry Incentive Act, incentives, limitation on production expenditures, additional $10 million during fiscal year ending September 2016, Sec. 41-7A-43 am'd.

Summary

HB30 would add a one-time $10 million increase in tax rebates in fiscal year 2016 for qualifying productions related to a north Alabama music-industry documentary, on top of the existing $20 million cap.

What This Bill Does

Currently, rebates are 25% of eligible production expenditures plus 35% of Alabama resident payroll, with a minimum $500,000 and a cap of $20,000,000. HB30 adds an additional $10,000,000 in rebates for fiscal year 2016 for expenditures above the first $20,000,000 for a motion picture or TV series tied to a previously released north Alabama music-industry documentary. The rest of the rebate rules stay the same, including how rebates can offset tax liability and how excess rebates are treated, and the program remains subject to rulemaking by the Department of Revenue.

Who It Affects

• Qualified production companies with state-certified productions, especially those working on a north Alabama music-industry documentary, who could receive an extra $10 million in rebates in FY2016.
• Alabama residents who are paid on these productions (through payroll) and Alabama taxpayers, since rebates can offset tax liability or be refunded if they exceed liability.

Key Provisions

• Existing rebate structure: 25% of state-certified production expenditures excluding Alabama payroll plus 35% of Alabama resident payroll, with minimum $500,000 and cap at $20,000,000.
• For FY2016, an extra $10,000,000 in rebates is authorized for expenditures above $20,000,000 for a project related to a north Alabama music-industry documentary.
• Aggregation rules allow combining episodes or commercials within 12-month periods to meet monetary thresholds, if they pertain to the same subject.
• Rebates may be used to offset Alabama income tax liability; any excess rebate beyond tax liability is rebated to the production company.
• The Department of Revenue and related office will issue rules to administer these provisions.
• Effective immediately upon passage and approval by the Governor.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Economic Development