“A bill to amend the Internal Revenue Code of 1986 to expand the ability to expense certain qualified productions.”
No CRS summary available for this bill.
This section revises the dollar limitations and extends the termination date for the expensing election available under IRC §181 for qualified film, television, and live theatrical productions (i.e., allows immediate deduction of depreciable production costs up to specified limits, rather than capitalizing and depreciating them). Specifically, it (1) increases the general dollar limitation to $30 million (from $15 million), (2) increases the higher dollar limitation for productions principally shot within low-income or underserved census tracts to $40 million (from $20 million), (3) requires inflation adjustment of those amounts for taxable years beginning after 2026 (using calendar year 2025 as the base year and rounding to the nearest $1,000), and (4) extends the provision through December 31, 2030 (from December 31, 2025). The changes apply to productions commencing in taxable years ending after December 31, 2025.