Texas Film Commission Provides Special Incentive Program For Visual Effects Studios

Texas is one of a handful of states who have begun to include Visual Effects studios into their film incentive programs. This is probably one of the reasons that Texas is now home to several postproduction, visual effects, and animation companies. The Film Commission cites a 2 examples: The entire post production and visual effects for the blockbuster series of “Spy Kids films” were all created in-house at Austin-based Troublemaker Studios; and, the long running children’s television show “The Adventures of Jimmy Neutron: Boy Genius” and the feature-length film “The Ant Bully” were both animated and produced in Dallas by DNA Productions.

Continuing a Legacy in Animation with Incentives Programs

More than 55 animation and visual effects companies currently call Texas home and provide support and talent to the local and worldwide film industry. And new projects continue to be produced: Sony Picture Animation’s Open Season 3 and Warner Brothers Looney Tunes Shorts were each recently completed at Reel FX Studios in Dallas. No doubt, the lucrative production incentives that Texas extends to its resident studios has a lot to do with the continued growth.

Visual Effects Incentive Program Qualifications

In order to be eligible for the lucrative tax incentives, visual effects projects must meet the following qualifications.
• Minimum eligible Texas spending of $250,000 for film and television projects (for episodic television series, $250,000 per season)

• Minimum eligible Texas spending of $100,000 for commercial projects

• At least 60% of production days must be completed in Texas

• At least 70% of the total number of paid crew must be Texas residents for film and television projects

• At least 70% of the total number of paid cast, including extras, must be Texas residents for film and television projects

• At least 70% of the combined total number of paid crew and paid cast must be Texas residents for commercial projects

In addition, projects that meet all of the above AND complete at least 25% of other total production days in an underutilized or economically distressed area of Texas are eligible for an additional 2.5% added to their incentive payment.

Want to Learn More about These Special Incentive Programs?

To find out if you’re animation or visual effects project can benefit from these lucrative benefits, or to learn more about the Texas Moving Image Industry Incentive Program (TMIIIP) and Production Facilities Incentive,please call or email one of our TX specialists at filmcredits@kpm-us.com or call us at 781-849-5357 to see if Texas (or maybe another state?) is the best fit for your next production.