Section 181 (US Tax Incentives)


Section 181, Film Production Tax Incentive, Reinstated (and Retroactive!) in 2016 Spending Bill Great news for independent film producers: the omnibus spending bill passed by Congress and signed by President Obama contains a reinstatement of Section 181, the tax provision that incentivizes film and television production by allowing for immediate deduction of production costs up to $15 million.

What’s more, the provision, which expires December 31, 2016, was made retroactive to include costs spent during 2015. (In recent years, Section 181 was retroactively renewed for the prior year at the beginning of the next fiscal year; in 2015, it was allowed to expire completely, and many observers didn’t expect to see it again.)