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Article published Apr 2, 2005
S.C. fights with N.C., Georgia over tax breaks for filmmakers

COLUMBIA -- South Carolina appears to have won the battle with its neighbors to provide the most tax breaks to filmmakers.The House on Thursday approved a bill bumping the rebate on wages the state offers to 20 percent, less than two weeks after lawmakers in North Carolina and Georgia introduced bills giving tax breaks that equaled or exceeded what South Carolina's General Assembly had originally considered.If the bill hadn't been changed, a potential $45 million movie and $48 million TV series could have gone elsewhere, said Rep. Bobby Harrell, R-Charleston, who co-sponsored the legislation."The goal is to take advantage of the opportunity to get wonderful publicity for our state," Harrell said.The current version of the legislation offers a 20 percent rebate on wage taxes and 15 percent rebate on sales taxes.Harrell thinks the latest bill will end the competition between the three states. "We probably won't go any higher," he said.Tommy Melton, publisher of a Charleston-based film-industry publication, said the changes make South Carolina very attractive."Before these increases, we competed with every other Southern state," he said. "The money was so much better (in other locations) that the money talked. But now we are on a level playing field."The state's proposed incentives still would be lower than those in Louisiana, Nevada and New Mexico. But Film Commissioner Jeff Monks said that combined with the state's natural assets, South Carolina would be one of the most attractive packages available."It will help make us competitive in this industry," Monks said. "It will certainly provide a real shot in the arm for the personnel and suppliers working in the state."State officials acknowledge that neighboring states could easily boost their incentives as well."It's a game we've been playing for years and we'll continue to keep playing," Monks said.