ANNOUNCEMENT 27 May 2015In May 2015, a US state government announced a targeted tax change.
NUMBER OF INTERVENTIONS
On May 27, 2015, the governor of Nevada signed into law a bill (SB 94) that expands the state's film taxcredit program. The bill removes the $10 million cap on the amount that can beawarded to a company over four years, giving the legislature discretionto budget over the amount authorized each fiscal year.
SB 94 also removes the June 30, 2023, expiration date, making the credit permanent. Some provisions of the bill increase the incentives for hiring Nevada residents while also tightening the rules by which the hiring of local persons is calculated (e.g., excluding work performed by extras from the calculation).
The GTA includes state guarantees and other financial incentives that are likely to affect the restructuring and performance of firms facing international competition, whether from imports, in export markets, and from foreign subsidiaries.