Texas Increases Production Incentives

Texas Gov. Greg Abott in June allowed Senate Bill (SB) 22, which was passed by the State Legislature, to become law without his signature. SB 22 increases funding for Texas’ production incentive program from $200 million every two years to $300 million every two years. Additionally, the bill guarantees that the program will now be fully funded in the state’s annual budget, as funding for the program in the past was not always fully available. 

The Texas Moving Image Industry Incentive Program is designed to build the economy through the moving image industry by creating jobs in Texas. The Incentive Program provides qualifying productions, including commercials, the opportunity to receive a cash grant based on a percentage of a project’s eligible Texas expenditures, including eligible wages paid to Texas residents. Grants vary by budget levels and types of productions, and are issued upon completion of a review of the project’s Texas expenditures.

For commercial productions, qualifying projects are eligible to receive a cash grant up to 12.5% of eligible Texas spending. Starting Sept. 1, 2025, qualifying commercial projects will need to have: Minimum eligible Texas spending of $100,000; At least 35% of combined paid crew and cast, including extras, must be Texas Residents (down from the current 55% requirement); and at least 60% of the production must be completed in Texas.

Projects interested in applying to the incentive program should submit an Incentive Inquiry Form in order to request an application link. An application package must be received by the Texas Film Commission no later than 5 PM Central Time five (5) business days prior to the first day of principal photography:

For the latest information, including updates to rule changes taking effect on Sept. 1, click here to visit the Texas Film Commission website.