Illinois Film Production Services Tax Credit
Illinois Department of Commerce and Economic Opportunity (DCEO) / Illinois Film Office
35% of qualifying IL spend
35% film credit, no cap, extended to 2038
Illinois offers a 35% tax credit on Illinois resident payroll and qualified in-state vendor spend, plus a 30% credit on limited non-resident salaries (up to 13 non-resident crew, capped at $500K per person). No project cap and no annual funding cap. The program is extended through December 31, 2038. Additional uplifts available: +15% for economically distressed areas, +5% for filming outside Chicago suburbs, +5% for a relocating TV series, and +5% for certified green productions (stackable to a theoretical maximum of 55%).
- Funding type
- Tax Credit
- Level
- State
- Amount
- 35% credit on Illinois resident payroll (up to $500K per individual) and qualified Illinois vendor expenditures. 30% on up to 13 eligible non-resident crew salaries (up to $500K each). Stackable uplifts: +15% economically distressed area, +5% filming outside Chicago suburbs, +5% relocating TV series, +5% certified green production.
- Realistic amount
- A $3M Illinois spend earns approximately $1.05M at the 35% base rate. Productions combining resident payroll + green cer…
- Deadline
- Rolling — productions must apply before or during principal photography. Contact Illinois Film Office at filmtaxcredit@illinois.gov for timing requirements.
- Status
- active
- States
- IL
- Payment model
- tax offset
Who qualifies
- For-profit production companies producing feature films, television series, documentaries, commercials, animations, or music videos with qualified Illinois expenditures
- No stated minimum spend requirement (but credit is meaningful only for productions with substantial Illinois spend)
- Illinois resident salaries qualify at 35% up to $500,000 per individual
- Up to 13 non-resident crew members qualify at 30%, up to $500,000 per person
- Non-resident actors: 4 included for productions under $20M IL spend; 5 for $20M–$40M; 6 for over $40M
- Illinois vendor purchases and service contracts qualify for the 35% credit
- Post-production work performed in Illinois qualifies
- Green productions must obtain 'certified green production' designation from DCEO Illinois Film Office for the +5% uplift
Hard requirements
- Must be incorporated
- Restricted to industry: film, television, commercial, or media production
What it covers
Eligible expenses
- Illinois resident salaries (up to $500K per individual) with proper withholding
- Qualified non-resident crew salaries (up to 13 individuals, up to $500K each)
- Tangible personal property and services acquired from Illinois vendors
- Post-production services performed in Illinois
- Studio and location rental fees paid to Illinois entities
Ineligible expenses
- Development, script acquisition, and story rights costs
- Salaries above the $500,000 per-individual cap
- Non-resident costs beyond the non-resident allowance (13 crew + non-resident actors per tier)
- Marketing and distribution costs for the completed project
- Costs incurred outside Illinois
How to apply
-
1
Notify Illinois Film Office
Contact the Illinois Film Office at filmtaxcredit@illinois.gov before or during production. Submit initial project information including budget, production schedule, and estimated Illinois expenditures.
-
2
Register Illinois withholding
Comply with December 2025 Illinois income tax withholding requirement (4.95%) for all compensation for personal services performed in Illinois by film production workers.
-
3
Track qualifying expenditures
Document all Illinois resident payroll, eligible non-resident salaries, vendor invoices, and production services. Separate qualifying vs. non-qualifying costs throughout production.
-
4
Submit certified cost report
After production wraps, submit a CPA-certified cost report to the Illinois Film Office. DCEO reviews and issues the tax credit certificate. Credits carry forward for 5 years from issuance.
Industry & certifications
NAICS codes: 512110, 512120, 512191
The +5% green production uplift requires DCEO green certification — apply early in pre-production, not after wrap. Illinois resident payroll withholding compliance (4.95%, effective Dec 2025) must be set up before first payroll to qualify those wages.
Deadline & timing
Program has no intake cycles. Applications are accepted on a rolling basis tied to production start date. Program extended through December 31, 2038. Effective December 12, 2025, a new 4.95% Illinois income tax withholding requirement applies to compensation for personal services in film production roles.
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Last reviewed 2026. GrantCompass is an independent funding-discovery tool and is not affiliated with any government agency. Always confirm details on the official program page.