Build A Qualified Production Facility in Arizona
Arizona's new Motion PIcture Production Program tax incentive is designed to encourage the construction and use of Qualified Production Facilities (QPF)* that provide a minimum 10,000 square feet of soundstage space for film and digital media production work in Arizona.
As such, 75% of the $100M annual incentive cap ($75M in 2024) is available to productions that primarily film at a Qualified Production Facility* with 25% ($25M in 2024) available to productions primarily filming at Practical Locations. The annual cap for QPF usage increases to $100 M in 2025 through December 31, 2043. The cap for Practical Locations remains at $25M through December 31, 2043.
Additionally, there's an Uplift of 2.5% of Production Costs for using a Qualified Production Facility. ONE of the following must occur:
- Use a Qualified Production Facility to produce the production in Arizona
- More than 50% of the production is filmed at a Practical Location in Arizona with all preproduction, postproduction, and editing completed at a Qualified Production Facility in Arizona
- Produced and filmed in association with a Long-term Tenant of a Qualified Production Facility in Arizona. “Long-Term Tenant” means a person that enters into a lease of at least five years for the use of a Qualified Production Facility.
To support your financial interests in either constructing a new Qualified Production Facility or converting an existing infrastructure into one, the Arizona Commerce Authority offers access to the Quality Jobs Tax Credit.
The Quality Jobs tax credit offers up to $9,000 of Arizona income or premium tax credits spread over a three-year period for each net new qualifying job ($3,000 per year). The program is capped at 10,000 jobs pre-approved per year. Eligibility is based on location, capital expenditure and net new jobs added.
- In an Urban location: Minimum capital investment: $500K to $5M with 25 minimum New Jobs added.
- In a Rural location: Minimum capital investment: $100,000 to $1M with 5 minimum New Jobs added.
For complete program details visit the Quality Jobs Tax Credit webpage.
We can additionally assist you with site-selection, and realty assistance for the business location.
If you're interested in developing a Qualified Production Facility in Arizona, please email or call Arizona Film & Digital Media Director Matthew Earl Jones, 818-554-7000 or Program Manager Ramsay Wharton 602-845-1294.
*Qualified Production Facility means a structure that is built for film industry purposes, is located in this state, contains dedicated soundstage space that is at least ten thousand (10,000) contiguous square feet which may be partitionable, and meets generally accepted industry standards, including standards for soundproofing, lighting, air conditioning, and Motion Picture Production quality technology for producing, filming, or otherwise creating a Motion Picture Production.