Missouri Entertainment Tax Credit Legislation Begins Soon

More television, movie, and concert productions could be coming to Missouri after the legislature approved tax credits targeting the entertainment industry approved in legislation which begins at the end of the month.

The “Show MO Act” created credits for up to 30 percent of qualifying expenses for live entertainment and tour expenses, if certain conditions are met. It created credits equaling 20 percent of qualifying film production expenses, with additional credits available if more conditions are met.

Senate Bill 94 had broad bipartisan support on its way through the House and Senate, and was signed into law by the governor last month.

For an artist to qualify for the credits they must perform at least two concerts in the State of Missouri.

The only other state that offers tax credits to concert productions is Pennsylvania, which recently increased the cap on its credits due to their success. Hudson said due to geography alone, Missouri could fare even better.

The film tax credits are capped at $16-million dollars. In addition to the 20 percent credit for qualifying film productions, another 5 percent can be earned if at least 15 percent of production takes place in a rural or blighted area; another 5 percent can be earned if a certain number of Missourians are hired; and another 5 percent is available if the production depicts Missouri or the region in a positive light. The Department of Economic Development will decide which productions are approved.

The tax credits will be reviewed annually by the legislature to ensure that they are benefitting Missouri.

The legislation becomes effective August 28. The new tax credits would expire in 2030 unless a future legislature and governor agree to extend them.