California Motion Picture and Television Production Credit
California Motion Picture & Television Production Credits — Plain-English Guide (Codes 223, 237, 239, 245)
Filming in California? Here’s a streamlined, producer-friendly walkthrough of the state’s film & TV tax credits—and how Mindwarp supplies AB5-compliant local crew (grips, electrics, best boys, utilities, loaders) to keep your budget tight and your schedule moving.
What These Credits Are
California offers multiple production credits you can apply against state taxes if you produce a qualified motion picture or television project in-state. Here’s how the credit names map to filing codes and certificate number ranges:
| Credit Name | Certificate # Range | FTB Code |
|---|---|---|
| Original California Motion Picture & Television Production Credit | 1000–4999 | 223 |
| New California Motion Picture & Television Production Credit | 5000–6999 | 237 |
| Program 3.0 California Motion Picture & Television Production Credit | 7000–7999 | 239 |
| Soundstage Filming Tax Credit (SB 144) | 8000+ | 245 |
Heads-up: Program 4.0 (SB 132) is slated for mid-2025. Check the Franchise Tax Board page for current status and dates.
Who Can Qualify?
Productions certified by the California Film Commission (CFC) may qualify. Certification and allocation happen through the CFC; the tax claim is filed with the Franchise Tax Board (FTB).
- Projects must meet CFC application and qualification requirements.
- Credits can apply to corporations and, in some cases, to individual taxpayers (see usage limits below).
- SMLLCs treated as disregarded entities follow owner-level limitations when applying credits.
Questions? FTB email: FTBMotionPictureCredit@ftb.ca.gov
How to Apply & Claim
Apply (Allocation/Certification)
- Create an application with the California Film Commission (CFC) for the appropriate program window.
- Obtain your certificate number once allocated/certified.
Retain award letters, final certification, cost reports, payroll, and copyright filings.
Claim (FTB Filing)
- File your CA income/franchise tax return.
- Include FTB 3541 for each credit you’re claiming.
- Use the correct credit name & code tied to your certificate range (see table above).
- Provide copyright registration & certificate numbers.
Carryovers
- Original (223) & New (237): unused credit may carry over up to 6 years.
- Program 3.0 (239) & Soundstage (245): carry over up to 9 years.
TMT / AMT: For corporations, Original, New, Program 3.0, and Soundstage credits may reduce tax below Tentative Minimum Tax (as applicable). For individuals, Program 3.0 and Soundstage may reduce regular tax below TMT; Original and New cannot. Credits cannot reduce Alternative Minimum Tax.
Assignment & Sale Basics
Assignment (within an affiliated group)
- Corporations (or LLCs taxed as corporations) may assign credit to an eligible affiliate.
- Report assignments on FTB 3541 (each credit separately). Assignees also file their own FTB 3541.
- Assignments under motion picture rules are irrevocable once made.
- Prior-year carryovers must be applied to current liability before assigning any excess.
Sale (Independent Film credit)
- You may sell all or part of a credit attributable to an Independent Film to one unrelated party (no splitting among multiple buyers).
- Purchasers can apply the credit only against income/franchise tax; they cannot resell.
- Use FTB 3551 to notify FTB before the sale; report gain/loss on the transaction.
Independent Film credit sale contacts:
Fax: 916-855-5666
Mail: Independent Film Tax Credit MS F350, Franchise Tax Board, PO Box 1779, Rancho Cordova, CA 95741-1779
Email: FTBSaleofFilmCredit@ftb.ca.gov
If you elect to apply any credit against sales & use tax, you must also report with the California Department of Tax & Fee Administration.
Quick Producer Checklist
- Confirm your category & window with the CFC before budgeting the credit.
- Track qualified vs. non-qualified spend separately from day one.
- Keep payroll & vendor docs showing California work clearly.
- Align copyright filings so certificate numbers are ready.
- Plan for carryover if delivery straddles fiscal years.
- For assignments or Independent Film sales, calendar FTB filing lead times.
Experienced Grips, Electrics & Best Boys
Need a fast, professional crew on the Central Coast or Bay Area? Mindwarp brokers AB5-compliant stagehand labor and film technicians—including key/best boys, grips, electrics, utilities, loaders—with streamlined payroll, onboarding, and workers’ comp coverage.
- Grip & Electric teams for narrative, doc, TV, live, and branded content
- Best Boy support for gear logistics, trucking, and power distribution
- LED wall, projection, and practical lighting integration
- Rate cards tailored to union/non-union and schedule demands
- Rapid call-sheet turnarounds; local hires reduce travel/per diem
Official Resources
- Franchise Tax Board — Motion Picture & TV Credit
- CFC application portal and program details are available via the California Film Commission.
- When claiming: include FTB 3541 per credit.
- Independent Film sales: use FTB 3551 and notify FTB prior to sale.
Always consult your tax advisor. Program details can change.
Source: California Franchise Tax Board. See the official page for current rules, forms, and dates: ftb.ca.gov/file/business/credits/motion-picture-tv-credit.html.
Disclaimer: Information about California Motion Picture and Television Production Credits is provided for general reference only and may change without notice. Always verify current eligibility rules, rates, and filing procedures directly with the California Franchise Tax Board and the California Film Commission before making business or tax decisions.
James
Great article, I was just looking for more info on film credits in California. I will hit you up for labor and payroll, good to know that you offer this.