Hawaii is a popular destination for film productions wishing to take advantage of the breathtaking views ranging from the white sand beaches and iconic surf to the mountains and tropical rainforests. In addition, Hawaii offers a competitive production tax credit that has attracted numerous productions including recent films Jumanji: Welcome to the Jungle and Jurassic World.
The Hawaii Motion Picture, Digital Media, and Film Production Income Tax Credit is a 20-25% refundable production credit for qualified production and post-production expenses incurred in Hawaii and subject to state taxation. The credit is equal to 20% of qualified production costs incurred while filming on Oahu and 25% of qualified production costs incurred while filming on a neighbor island. A qualified production that spends a minimum of $200,000 in qualified production costs in Hawaii qualifies for the production credit.
Qualified production expenditures include purchases, rentals, resident labor and nonresident labor incurred in Hawaii and subject to state taxation. Each qualified production is subject to a $15,000,000 credit cap.
To learn more on Hawaii’s regulations and requirements, contact a KPM specialist today.