OT - Domestic Production Deduction

Yoyodyne wrote on 11/29/2005, 8:01 PM

Domestic Production Deduction tax break

Got this tip from another site - I know I'm gonna have my acountant look into it:

"I am a CPA by profession and have been doing quite a bit of tax planning for my clients lately.

I strongly suggest US videographers, filmakers and the like, speak with their tax advisors re: the new Domestic Production Deduction availabe for the first time in 2005. This deduction can equal up to 3% of your net US production income. The percentages increase significantly over the next few years!

Film and video production are specifically included in code section 199.

FYI

George"

Again this is NOT info from me - just a tip from another site - but worth a look.
Yoyodyne

Comments

filmy wrote on 11/29/2005, 11:04 PM

Yes it is an indy tax break, part of The American Jobs Creation Act of 2004. There is budget cap on the production costs - between between 1 and 15 million and it has to be 75% United States payouts. it is not just for films, it is also for things like TV shows and such.

here is a link for a PDF of the parts that relate to production: H.R.4520

p@mast3rs wrote on 11/29/2005, 11:36 PM

Gee, wonder if the pr0n companies are going to take advantage of the tax break. LOL.

Grazie wrote on 11/30/2005, 1:00 AM

FMI? Patrick what is: " the pr0n companies " . .. even with the possible typo=0 . .. I dunno this one?

Grazie

p@mast3rs wrote on 11/30/2005, 1:54 AM

pr0n = porn

Grazie wrote on 11/30/2005, 3:17 AM

Ah! I reeeeeallly didn't know that one .. seesshhh .. been entering the WRONG search string all these years. . duoah! Double Duaoh!

.. . thanks Patrick.

Grazie

Steve Mann wrote on 11/30/2005, 10:28 PM

".... between 1 and ..."

Lost me already.