Efforts to increase Montana’s cap on tax credits for movie and TV productions that film in the state stalled out on a tie vote in the Legislature’s final days. Now, advocates say the existing annual limit is maxed out.
Supporters of a bill to roughly double Montana’s film tax credits to $20 million touted studies that show film productions spend more money in the state than they receive from the credits.
Speaking on the House floor, Rep. John Fitzpatrick (R-Anaconda) summarized a popular position among opponents that the government should not show financial favor to the film industry.
“We heard in the motion for reconsideration, ‘You need to spend money in order to make money,” Fitzpatrick said. “Well, that’s generally true, but it would be really nice if the film industry would spend their money rather than that of the people of Montana.”
Lawmakers voted to raise the cap on tax credits in the MEDIA Act to $12 million in 2021. That ceiling will now remain in place at least until the next scheduled legislative session in 2025. A report from legislative staff earlier this year indicated Paramount TV-blockbusters “Yellowstone” and “1923,” which film in the Bitterroot and near Butte, qualified for the entirety of last year’s available credits.
Missoula-based filmmaker and industry advocate Lynn-Wood Fields said tax incentives encourage studios to bring their business to Montana by reducing financial risk associated with filmmaking. She said current productions have already claimed the existing credits through 2025.
“That means we probably won’t see new productions coming in, because they know Montana doesn’t have any money,” Fields said. “So, it’s really unfortunate.”
Fields said she plans to continue lobbying to raise the tax credit cap in the future.
