State Brief · NC

North Carolina Film Tax Incentives

Headline rate, caps, minimum spend, payroll fringe, and the official film office for North Carolina. Reference data for producers, line producers, and financiers structuring a North Carolina shoot.

Program Type
Grant Program
25%
Program Details
Annual Cap
$31M
Project Cap
$7M (feature) / $15M (series)
Min. Spend
$1.5M (feature) / $500K (per episode)
Comp. Cap
Labor & Fringe
Payroll Burden
24–27%
Workers' Comp
3.5%
Sales Tax
4.75% (production exempt)
Union Locals
IATSE 491
Official Sourcefilmnc.com

Illustrative reference. Verify before deal.

Production Brief

North Carolina's 25% grant program is funded through the NC Film and Entertainment Grant, with a recurring annual allocation of $31 million that is functionally uncapped as unused funds carry forward. Per-project caps are $15 million for television and streaming series per season, $7 million for feature films, and $250,000 for commercials. Wilmington is the state's production anchor, home to the EUE/Screen Gems studio campus and a crew base with decades of continuous production experience from series like One Tree Hill, Iron Fist, and numerous feature films. The state's geography spans Blue Ridge Mountain communities, Piedmont suburbs, and Atlantic coastal towns, providing substantial location variety within a single state. Awards are at the discretion of the NC Secretary of Commerce, so productions should engage the NC Film Office early to understand the competitive evaluation process.

North Carolina film incentive, at a glance.

The questions producers ask first when sizing a North Carolina shoot, answered against the state's current program structure and fringe environment.

Is the North Carolina film tax credit refundable or transferable?
North Carolina runs a discretionary grant program rather than a tax credit. Applications are scored and approved in advance of production, and awards are paid from the administering agency's appropriation.
What is the North Carolina film incentive rate?
North Carolina offers a 25% rate on qualified production spend.
What is the minimum spend to qualify for the North Carolina film incentive?
The minimum qualified-spend threshold to access the North Carolina program is $1.5M (feature) / $500K (per episode). Productions below this threshold are not eligible for the incentive.
What is the annual cap on the North Carolina film tax credit?
North Carolina's annual program cap is $31M with a per-project cap of $7M (feature) / $15M (series). Productions should confirm current fund availability before committing, as caps can be exhausted mid-fiscal-year.
What is the payroll burden for film production in North Carolina?
Typical payroll burden in North Carolina runs 24–27% on top of gross wages, covering payroll taxes, statutory insurance, and applicable union pension/health/welfare contributions. Workers' compensation rates for production work generally fall around 3.5%, and production purchases are subject to 4.75% (production exempt).
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Headline rate is the start, not the end. Compare North Carolina side-by-side with every other U.S. jurisdiction on caps, minimum spend, refundability, and fringe before locking the location.

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