Revises certain requirements and award availability under film and digital media content production tax credit program.

# Summary of New Jersey Film and Digital Media Tax Credit Program Bill This bill significantly revises New Jersey's film and digital media production tax credit program, extending its availability until July 2049 (10 years longer than current law) and making several key enhancements: ## Key Changes 1. **Increased Tax Credit Rates**: - Raises tax credits for New Jersey studio partners/film-lease production companies from 35% to 40% of qualified film production expenses for expenses incurred within a 30-mile radius of a specific NYC location - Adds a 5% tax credit for television series that relocated to New Jersey (defined as series with all prior seasons filmed outside NJ) 2. **Competitive Adjustment**: - If neighboring states offer larger tax credits, New Jersey will increase credits for productions in the specified NYC area to at least 45% of qualified expenses 3. **Expanded Credit Application**: - Allows tax liability to be reduced below zero (previously not permitted) - Permits carry-forward of unused credits to future tax periods - Allows credit use in the tax period issued or subsequent periods without amending prior returns 4. **Increased Funding Limits**: - Raises maximum cumulative awards to $300 million for studio partners and $250 million for film-lease production companies (from $150 million each) - Decreases additional discretionary awards to $250 million for studio partners and $150 million for film-lease production companies 5. **New Promotional Credit**: - Adds a 2% promotional credit for productions meeting specific New Jersey promotion criteria (e.g., featuring NJ locations, social media posts, promotional logo placement) 6. **Simplified Diversity Credit**: - Streamlines the diversity credit structure - now a consistent 4% credit for film production expenses (previously required additional requirements for 4% vs. 2% credit) 7. **Enhanced Definitions**: - Creates new definition for "New Jersey film-lease post-production company" - Amends definitions of "commitment period" and "eligibility period" to provide greater flexibility - Expands "qualified film production expenses" to include script costs 8. **Recapture Rules**: - Clarifies recapture applies only to initial recipients (not purchasers/assignees of tax credit transfer certificates) - Provides flexibility for studio partners who fail to occupy facilities due to circumstances outside their control 9. **Expanded Applicability**: - Allows tax credits to be applied against insurance premium tax liability (in addition to existing tax liabilities) The bill aims to strengthen New Jersey's competitiveness in attracting film and digital media productions while promoting New Jersey as a filming destination through enhanced promotional requirements.