DETROIT (AP) — A little-known state tax break for music producers could help put Motown back on the music map, but theDetroit Free Press says so far no one has taken advantage of it.
The state is offering tax credits of up to 42 percent for the production of music CDs and music videos. The break was designed to attract big-name artists to record in Michigan, which already is home to Eminem, Kid Rock and Bob Segar.
The tax credit has been available since April 2008, but no one has taken advantage of it apparently because it is so little-known.
Industry insiders like Brian Pastoria of Harmonie Park Studios say the incentive has potential to help grow the state’s music business.
Crain’s Detroit Article
By DONNA PAUL
Published: September 8, 2009
DETROIT — In the midst of a recession that has been particularly brutal in Michigan, a number of construction projects are on the verge of getting under way in a most unlikely business: the film industry.
The recent surge of interest was set in motion in April 2008, when Gov. Jennifer M. Granholm signed a 14-bill package into law, which among other things provided a 40 percent tax credit or cash rebate for studios on their business tax returns in Michigan. An additional 2 percent rebate is available for films produced in 103 communities.
There is also a 25 percent infrastructure credit, which is applied against expenditures on construction of a studio and its contents, said Janet Lockwood, director of the Michigan film office.
Read the New York Times article
Governor Granholm is a visionary, bold and decisive leader and we support the efforts of the Governor to enhance Michigan’s profile with the support of the Michigan Film Incentive. This new era of our filmmaking industry in Michigan could not have happened were it not for the astute talent of the Governor. As a filmmaker for 25 years, I salute you for your resolute dedication. Cleary Clooney, DeNiro, Hillary Swank, Drew Barrymore, Edward Norton, etc. agree. – Michigan Film Production Founder Jack Binder, Producer “Reign Over Me” (Adam Sandler, Don Cheadle, Liv Tyler) , “The Upside of Anger” (Kevin Costner, Joan Allen)
Governor Granholm Photo: Associated Press