Film Tax Credits Can Lead to Costly Liability If You Don’t Play By the Rules

by Anthony Caruso on June 5, 2012

States are increasingly offering film, television, and digital entertainment tax credits. These incentives create significant cost savings for companies producing feature films, television series, music videos and commercials.

However, as highlighted by a recent criminal case in Massachusetts, it is important to play by the rules. The Massachusetts director who filmed two movies on Cape Cod has been sentenced to a maximum of three years in state prison after admitting he exaggerated expenses when he applied for Massachusetts film tax credits.