Form Ftb 3541 - California Motion Picture And Television Production Credit - 2011 Page 3
Download a blank fillable Form Ftb 3541 - California Motion Picture And Television Production Credit - 2011 in PDF format just by clicking the "DOWNLOAD PDF" button.
Open the file in any PDF-viewing software. Adobe Reader or any alternative for Windows or MacOS are required to access and complete fillable content.
Complete Form Ftb 3541 - California Motion Picture And Television Production Credit - 2011 with your personal data - all interactive fields are highlighted in places where you should type, access drop-down lists or select multiple-choice options.
Some fillable PDF-files have the option of saving the completed form that contains your own data for later use or sending it out straight away.
ADVERTISEMENT
1
2
3
4
5Instructions for Form FTB 3541
California Motion Picture and Television Production Credit
What’s New
• Purchased from a qualified taxpayer.
• Assigned to or from an affiliated corporation under R&TC
California Motion Picture and Television Production Credit. For
Section 23865(c)(1). For more information, see General
taxable years beginning on or after January 1, 2011, Revenue & Taxation
Information C, Credit Assignment.
Code (R&TC) Section 17053.85 and Section 23685 allow a qualified
• Applied or will be applied against BOE qualified sales and use taxes.
taxpayer a California motion picture and television production credit
For more information, go to boe.ca.gov and search for ca film.
against the net tax (individuals) or tax (corporations) and/or qualified
You must attach form FTB 3541 to your tax return if you have any of the
sales and use tax. The credit, which is allocated and certified by the
above bulleted items.
California Film Commission (CFC), is 20% of expenditures attributable
Note: Each entity that received or assigned a motion picture and
to a qualified motion picture or 25% of production expenditures
television production credit from or to another entity within a combined
attributable to an independent film or a television series that relocates to
California.
reporting group must complete a separate form FTB 3541.
S corporations, estates and trusts, and partnerships, or LLCs taxed
Important Information
as partnerships should complete form FTB 3541 to figure the amount
of credit to pass-through to shareholders, beneficiaries, partners, or
Write “CFC Credit”– Taxpayers attaching form FTB 3541 California
members. The credit is not allowed at the pass-through entity level.
Motion Picture and Television Production Credit, to the tax return should
Attach this form to Form 100S, California S Corporation Franchise or
write “CFC Credit” in red ink at the top margin of their tax return.
Income Tax Return; Form 541, California Fiduciary Income Tax Return;
Form 565, Partnership Return of Income; or Form 568, Limited Liability
Use of Credit – The credit can be used by the qualified taxpayer to:
Company Return of Income. Show the pass-through credit for each
• Offset franchise or income tax liability. Use credit code number 223
shareholder, beneficiary, partner, or member on Schedules K-1 (100S,
when claiming this credit.
541, 565, or 568), Share of Income, Deductions, Credits, etc.
• Sell to an unrelated party (independent films only.)
• Assign to an affiliated corporation.
B Definitions
• Apply against qualified sales and use taxes.
Credit certificate. Credit certificate means the certificate issued by the
This credit is not refundable.
CFC for the allocation of the credit to a qualified taxpayer.
Sales and Use Taxes – A qualified taxpayer who has been issued a
Qualified taxpayer. Qualified taxpayer means a taxpayer who has paid or
certified Form M, Tax Credit Certificate, from the CFC may make an
incurred qualified expenditures and has been issued a credit certificate
irrevocable election with the Board of Equalization (BOE) to apply the
by the CFC. In the case of any pass-through entity, the determination of
credit against qualified sales and use taxes. For more information, go
whether a taxpayer is a qualified taxpayer is made at the entity level. The
to boe.ca.gov and search for ca film.
credit is not allowed at the pass-through entity level. The credit is passed
Credit Assignment – A qualified taxpayer that is a corporation or is taxed
through to the shareholders, beneficiaries, partners, or members.
as a corporation and whose credit exceeds the tax may elect to assign
Qualified motion picture. Qualified motion picture means a motion
the credit to an affiliated corporation(s). The election to assign the credit
picture that is produced for distribution to the general public, regardless
is irrevocable. For more information, see General Information C, Credit
of medium. For more information, refer to the R&TC Section 17053.85,
Assignment.
Section 23685, or go to film.ca.gov.
Sale of credit attributable to an Independent Film – A qualified taxpayer
Independent film. Independent film means a motion picture with a
may sell a credit, attributable to an independent film, to an unrelated
minimum budget of one million dollars ($1,000,000) and a maximum
party once the taxpayer receives Form M from the CFC. The credit can
budget of ten million dollars ($10,000,000) that is produced by:
only be sold by the qualified taxpayer that generated the credit (that is a
corporation, a Limited liability company (LLC) or partnership taxed as a
• Companies that are not publicly traded.
• Publicly traded companies that do not own more than 25 percent of
corporation, or an individual) or by a shareholder, beneficiary, partner, or
member who received the credit as their distributive or pro-rata share.
the producing company.
For more information, get form FTB 3551, Sale of Credit Attributable to an
Television series. Television series means a television series that
Independent Film, or go to ftb.ca.gov and search for film.
relocated to California, without regard to episode length or initial
Seller – A qualified taxpayer that sells an independent film credit is
media exhibition, that filmed all of its prior season or seasons outside
required to report the gain on the sale of the credit in the amount of
of California and for which the taxpayer certifies that this credit is the
the sale price.
primary reason for relocating to California.
Buyer – If the credit was purchased for less than the credit amount
Affiliated corporation. Affiliated corporation has the meaning provided
stated on Form M, the buyer is required to report income in the
in R&TC Section 25110(b), except that “100 percent” is substituted for
amount of the difference between the credit amount claimed on its
“more than 50 percent” wherever it appears in the section and “voting
return and the purchase price.
common stock” is substituted for “voting stock” wherever it appears
in the section. For more information, see General Information C, Credit
General Information
Assignment.
C Credit Assignment
A Purpose
For taxable years beginning on or after January 1, 2011, R&TC
Use form FTB 3541, California Motion Picture and Television Production
Section 23685 (c)(1) allows a qualified taxpayer to assign a California
Credit, to report the credit for the production of a qualified motion
motion picture and television production credit to an eligible assignee.
picture in California that was:
The credit must first exceed the tax of the qualified taxpayer (the
• Allocated from the CFC on Form M, Tax Credit Certificate.
assignor) for the taxable year in which the credit is to be assigned.
• Passed through from S corporations, estates and trusts,
The election to assign any credit is irrevocable. The assignor shall
partnerships, or limited liability companies (LLCs) taxed as
make the election and report the credit assignment by completing
partnerships.
FTB 3541 Instructions 2011 Page
ADVERTISEMENT
0 votes
Related Articles
Related forms
Related Categories
Parent category: Financial