Music Industry Tax Credit In Ohio?

Ohio’s film tax credit has become a big asset for movie companies that choose to film in Ohio. Two lawmakers in Ohio would like to establish a similar program for recording music, and this Ohio Sound Recording Investor Tax Credit could help musicians, producers, and recording studios grow the local music industry.

This is how the tax credit would work…the $3 million per year OhioSounds program would grant a 25 percent tax credit to music produced in the state. It would also refund 25 percent of music studio construction and recording infrastructure costs, up to $50,000 per project. Projects must exceed $5,000 to qualify.

Meeting the minimum financial requirements may not be a challenge for many indie artists as high quality album costs are often at least $10,000 according to representative Smith.

Representative LaTourette said the program makes sense in a state that claims the home of rock and roll. According to Smith the program could help  keep more young Ohioans in the state, as the state has been losing some of its creative talent.

Louisiana has a similar tax credit and New York is considering adding a program in its state budget as well.

Although Smith said OhioSounds is intended to benefit the state’s 325 recording studios and bring talent into the state, some critics say that takes money away from public services on the local and state level.

Do you think this tax credit is a good idea and should be implemented in your state too?

Please leave a comment below and let us know what you think!