There are two types of investments in a Qualified South Carolina Motion Picture Project (QSCMPP). Section (B) investments are investments in a motion picture equity fund created for the sole expressed purpose of facilitating a slate of QSCMPPs. Section (A) investments are all other type investments in a QSCMPP. The credit for both type (A) and (B) investments is limited to 33% of the "taxpayer's" cash investment, while type (A) investments are further limited to $15, 000. The "taxpayer" for type (A) investments is the direct investor (the company producing the project and making the direct payments with regard to the project). The "taxpayers" for type (B) investments mean the investors, partners, limited liability company members, and subchapter "S" corporation shareholders who invest in the motion picture equity fund.

The maximum credit per motion picture project is $15,000. For pass through entities the $15,000 maximum credit is allocated to the partners, "S" corporation shareholders, or LLC members based on their ownership percentage.

Investment in a South Carolina Motion Picture Production Facility or a Post Production Facility

A South Carolina Motion Picture Production Facility means a site in South Carolina that contains soundstages designed for the express purpose of film and television production for both theatrical and video release. Production includes, but is not limited to, motion pictures, made-for-television movies, and episodic television to a national audience. The motion picture production facility site must include production offices, construction shops/mills, prop and costume shops, storage area, parking for production vehicles, all of which complement the production needs and orientation of the overall facility purpose. The term does not include television stations, recording studios, or facilities predominately used to produce videos, commercials, training films, or advertising films.

Post-production facility means a site in this State designated for the express purpose of accomplishing the post-production stage of film and television production for both theatrical and video release including the creation of visual effects, editing, and sound mixing. A post-production facility site is not required to contain a soundstage or be physically located at or near soundstages.

A taxpayer may claim a credit in an amount equal to thirty-three percent of the value of a taxpayer's investment in the construction or conversion, or equipping, or any combination of these activities, of a motion picture production facility or post-production facility in this State.

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