Qualifying commercials must incur 75% of production costs in New York State. 

Commercials can be any length.

*The minimum spend for commercials produced downstate is $500,000, and the credit available is initially calculated as 20% of qualified spending above $500,000.

The minimum spend for commercials produced upstate is $100,000.

While not a bonus per se, commercials produced upstate can receive a 30% credit, as opposed to 20% for their downstate counterparts.

All applications received for each of the two components (Upstate and Downstate) will be reviewed.

Once the total amount of credits earned for each component of the program has been determined, the pro rata value for each applicant will be calculated, and a certificate of tax credit will be issued. The certificate must be attached to a company's New York State tax return to be applied against its state tax liability. If the amount of the credit exceeds the tax liability for that year, 50% of the excess will be refunded to the applicant. In the subsequent tax year, the applicant will file for the remaining credit. If there is any amount of credit remaining in excess of the applicant's tax liability for that year, it will be refunded. 

The Downstate credit of 20% is earned by filming or recording qualified commercials within the Metropolitan Commuter Transportation District (MCTD). The MCTD includes New York City, Dutchess, Nassau, Orange, Putnam, Rockland, Suffolk and Westchester county. The minimum qualified spend must be over $500,000. 

The Upstate credit of 30% is earned by spending at least $100,000 in total qualified costs attributable to the production of qualified commercials outside the MCTD during the calendar year.

†Each pool of money remains “pro-rata” so all qualifying applicants will receive their share of the available funds at the end of the year.