New Mexico Application for Film and Television Tax Credit

Application for Film and Television Tax Credit
Form RPD-41228
State of New Mexico - Taxation and Revenue Department

RPD-41228
Rev. 9/11/2024

FILM-RELATED TAX CREDIT CLAIM FORM

WHO MAY USE THIS FORM: After the film production company has received an approval letter of the total qualifying expenditures
from the Taxation and Revenue Department, a completed Form RPD-41228, Film-Related Tax Credit Claim Form, must be attached
to the New Mexico PIT-1, CIT-1, PTE, S-Corp, or FID-1 return, on which one of the following approved film-related tax credits can be
claimed:
♦		

Film Production Tax Credit

♦		

New Mexico Film Production Tax Credit

♦		

New Mexico Film Partner New Film Production Tax Credit

A complete New Mexico tax return must be filed to claim a film-related tax credit. The amount of credit has limitations and may be
applied to the income tax liability due on the return. If the credit exceeds the income tax liability, the excess may be refunded. No
interest will be paid on any credit amount refunded. A credit claim shall not be divided and submitted with multiple year returns. The
credit may be assigned to an authorized third-party, but this does not exempt the film production company from the New Mexico filing
requirements.
See the instructions on how to complete the income tax return when claiming the credit. For more details, refer to FYI-106, Claiming
Business-Related Tax Credits For Individuals and Businesses and FYI-370, Information Regarding Film Production Tax Credits. For
assistance completing this form or claiming the credit, call (505) 827-0792 or email [email protected].
Name of the film production company (claimant)

Check one:	

Enter the FEIN or the SSN of the claimant

	

FEIN
SSN

Schedule A
To claim approved film-related tax credits, complete schedule A below. Use the total amounts in columns (e) and (f) to compute the
amount of credit claimed. Attached this Form RPD-41228, Film-Related Tax Credit Claim Form, to your New Mexico tax return. Also
attach the applicable tax credit schedule PIT-CR, CIT-CR, S-Corp-CR or FID-CR to your return. An entity that has been assigned the
credit by a film production company may also claim a refund of the credit by attaching this claim form directly to the entity's PTE return.
(a)
TRD - credit approval #

(b)
Date of approval

(c)
Amount of credit
approved

(d)
Amount of credit
assigned

(e)
Amount applied to the
attached return

(f)
Amount to be refunded

TOTAL CREDIT: Enter the sum of columns (e) and (f) here and on
lines 3 and 4 of the computation table below.

Computation of the Amount of Tax Credit Claimed

1.	 Enter the beginning and ending date of the reporting period for which the
approved tax credit will be claimed (use format mm/dd/yyyy).

From

to

2.	 Enter the net New Mexico income tax calculated before applying any
credit.

2.

$

3.	 Enter the sum of total credit from column (e), Schedule A, to be applied to
the tax due on your current New Mexico PIT-1, CIT-1, S-Corp, or FID-1 tax
return. Also attach a completed Schedule CR for the applicable tax program.

3.

$

4.	 Enter the sum of total credit from column (f), Schedule A, to be refunded. Also
attach a completed Schedule CR for the applicable tax program.

4.

$

NOTE: Failure to attach this form to the applicable New Mexico income tax return with the Schedule A completed will result
in denial of the credit.

RPD-41228
Rev. 9/11/2024

State of New Mexico - Taxation and Revenue Department

FILM-RELATED TAX CREDIT CLAIM FORM
Instructions

Page 1 of 3

Claiming an Approved Film-Related Tax Credit

Completing the Income Tax Return

After the film production company is determined eligible
by the Film Office and has been approved by the Taxation
and Revenue Department (TRD), film-related tax credits
(film production tax credit, new film production tax credit,
and New Mexico film partner new film production tax
credit) may be claimed by attaching this form, Form RPD41228, Film-Related Tax Credit Claim Form, with Schedule
A completed, to the film production company's complete
New Mexico income tax return (Form PIT-1, CIT-1, S-Corp,
or FID-1) that has been timely filed after the close of the
taxable year.

Electronic filing and direct deposit is recommended for
speedy efficient processing. Submit your complete return
with all required documents through the Taxpayer Access
Point (TAP), https://tap.state.nm.us or submit an electronic
return using tax software that has been approved by TRD.

All direct production expenditures and postproduction
expenditures incurred during the taxable year by a film
production company shall be submitted as part of the
same income tax return and paid. Claim the credit in full
on the return for the year expenses were incurred. Do not
divide and submit the credit claim with multiple returns or in
multiple years.
Subject to certain limitations, the amount of the tax credit
authorized for payment may be applied to the tax due on
the return. Or, if the amount of the film-related tax credit
exceeds the film production company's income tax liability
for the tax year, the excess may be refunded. No interest
will be paid on any credit amount refunded pursuant to
the Film Production Tax Credit Act (Section 7-1-68 NMSA
1978).
For purposes of determining the payment of credit claims
that are required to be paid out over multiple years, the
TRD Secretary may require that credit claims of affiliated persons be combined into one claim, if necessary, to
accurately reflect closely integrated activities of affiliated
persons.
Limitations on Receiving the Credit Claimed on a
Return
The total aggregate sum of film-related tax credits that
may be paid out prior to fiscal year 2024 is limited to
$110,000,000, increasing by $10,000,000 in each fiscal
year starting in 2024 and continuing through 2028. If this
threshold has been met for that fiscal year, the claim shall
be placed in queue to be paid the following fiscal year in
the order the return was filed. The aggregate amount of
credits claimed for that fiscal year appear on TRD's website
at https://www.tax.newmexico.gov/tax-professionals/taxcredits-overview-forms/film-production-tax-credit/
The date a credit claim is received by TRD determines the
order that a credit claim is authorized for payment.

Complete the income tax return, CIT-1, PIT-1, S-Corp, FID1, or PTE based on the federal return that you are required
to file.
If you are required to file:	
Federal Form 1040 		
Federal Form 1041		
Federal Form 1065		
Federal Form 1120 		
Federal Form 1120S 		

File New Mexico form:
PIT-1 return
FID-1 return
PTE return
CIT-1 return
S-Corp return

You also need to complete the tax credit schedule, CIT-CR,
PIT-CR, S-Corp-CR or FID-CR. Enter the total film-related
tax credit approved and the amount of the credit that you
want applied to the tax liability due and refunded on the
Schedule CR for business related tax credits. TRD will
compare the amounts entered and determine how and
when the credit will be paid.
CAUTION: If the amount you request to be applied to
the tax liability due on the return is not eligible to be paid
immediately, you will be billed for the tax liability not paid,
and you may be subject to interest on the unpaid tax due.
The following documents are to be included with the
completed income tax return when filing a claim for a filmrelated tax credit
♦	 Copy of the approval letter issued by TRD
♦	 RPD-41228, Film-Related Tax Credit Claim Form
(including Schedule A)
♦	 RPD-41380, Notice of Assignment of Film Production
Tax Credit (if applicable)
♦	 RPD-41336, Notice of Distribution of Film Production
Tax Credit (if applicable)
For all tax programs, you must attach Form RPD-41228,
Film-Related Tax Credit Claim Form, including Schedule A,
to your return. Failure to attach this form will result in denial
of your claim for the credit.
The corporate income tax return is under an e-file mandate.
Details about the electronic filing mandate, including how to
request an exception or waiver, may be found in the publication FYI-108, Electronic Filing Mandate.

RPD-41228
Rev. 9/11/2024

State of New Mexico - Taxation and Revenue Department

FILM-RELATED TAX CREDIT CLAIM FORM
Instructions

Assignment of Film Production Tax Credits

After the film production company has received approval
for the total qualifying expenditures from TRD, a completed
Form RPD-41380, Notice of Assignment of Film Production
Tax Credit, allows TRD to honor an assignment of the
film production tax credit to an authorized third-party or
a third-party financial institution. Form RPD-41380 must
be attached to the film production company's income tax
return on which the credit is claimed.
For purposes of the Film Production Tax Credit Act,
(1)	 an authorized third-party means an entity that:
(a)	 holds the rights to a film for which a film production
tax credit may be claimed; and
(b)	 initiates that film's production, and
(2)	 a financial institution means:
(a) 	a fund purposely created to produce a film; or
(b) 	a bank, savings institution or credit union that is
organized or chartered pursuant to the laws of New
Mexico or the United States and that files a New
Mexico income tax return.
The financial institution or authorized third-party must be
verified in advance by TRD.
An approved film production tax credit can be assigned
one time in a full or partial amount, and may not be further
transferred or assigned. Both parties of the assignment
must comply with the procedures established by TRD. After
verification, TRD shall remit the amount of tax credit to the
authorized third-party that would otherwise be remitted to
the film production company.
Requesting a Refund of the Credit on a PTE Return
Film-related tax credits may only be refunded on a PTE
return when a film production company has assigned
the payment of the tax credit to a third-party financial
institution, or to an authorized third party, as explained
above using Form RPD-41380, Notice of Assignment
of Film Production. The third-party financial institution
or authorized third-party then may file the PTE return
requesting the refund of the credit on the return.
A film production company that is a PTE and has received
approval of a film production tax credit, however, may
distribute the amount of the credit to its owners who will
then claim their portion of the credit on their own returns.
The PTE submits RPD-41366, Notice of distribution of
Film Production Tax Credit, to report the distribution of
the approved film production tax credit from a PTE to an
owner, member or partner.

Page 2 of 3

SCHEDULE A INSTRUCTIONS

For each approved film-related tax credit (film production
tax credit, new film production tax credit, or New Mexico
film partner new film production tax credit), complete a row
in Schedule A. Do not include credits which have been
claimed in full..

Column Instructions

(a) TRD - credit approval #. Enter the credit number
assigned by TRD from the approval documentation.
(b) Date of approval. Enter the date of TRD's approval for
the credit from the approval notice.
(c) Amount of credit approved. For each credit, enter the
amount of credit approved.
(d) Amount of credit assigned. For each film production
tax credit, enter the amount of credit assigned to a
third-party financial institution or to an authorized
third-party, and attach a Form RPD-41380, Notice of
Assignment of Film Production Tax Credit, for each
assignment of all or a portion of the credit.
NOTE: RPD-41366, Notice of Distribution of Film
Production Tax Credit, indicating credit transfer from a
pass-through entity to an owner, member, or partner,
must be submitted along with applications RPD-41229 or
RPD-41381.
(e) Amount applied to the attached return. For each
credit, enter the total amount of credit claimed and applied
to the liability due on the attached return.
(f) Amount to be refunded. For each credit, enter in
column the amount of excess credit that is to be refunded
to the taxpayer. To determine this amount, subtract the sum
of columns (d) and (e) from column (c).
NOTE: Failure to attach Form RPD-41228 with a
completed Schedule A to your New Mexico tax return will
result in denial of the credit.

Computation of the Amount of Tax Credit Claimed
1. Enter the beginning and ending date of the
reporting period for which the approved tax credit will
be claimed. Use the format mm/dd/yyyy.
2. Enter the net New Mexico income tax calculated on
the return before applying any of the credits listed on
the Scheudle A.
3. Enter the sum of all credits from column (e),
Schedule A, to be applied to the tax due on the New
Mexico PIT-1, CIT-1, S-Corp, or FID-1 tax return.
4. Enter the sum of all credits from column (f),
Schedule A, to be refunded. Also attach a completed
Schedule CR for the applicable tax program.