New Jersey Film & Digital Media Tax Credit — Explained Simply

New Jersey offers a generous film and digital media tax incentive for productions that perform qualifying work inside the state. The rules can feel complex, so here’s a clear, simple breakdown of what qualifies, what doesn’t, and how NJ Remote Post can support your project.

How Productions Typically Qualify

Option A — Production Credit (Most Common)

Your project qualifies if:

  • At least 60% of your total film production expenses (excluding post-production) are spent in New Jersey
    or

  • Your qualified film production expenses in New Jersey exceed $1,000,000

If you qualify under this path, your NJ-based post-production spend also becomes eligible.

Option B — Post-Only Credit (Requires $500K+ in NJ Post Spend)

You can also qualify through post-production only if:

  • You spend at least $500,000 on qualifying post-production work performed in New Jersey through a qualified NJ post-production company or designated post facility

This includes picture editorial, color, sound, VFX, assistant editorial, and finishing services.

How Post-Production Is Typically Reviewed (High Level)

In New Jersey, post-production activity is generally reviewed based on where the work is physically performed, rather than where a team is based or resides.

In practice, post-production work is typically reviewed when it is performed:

  • by workers physically present in New Jersey

  • including out-of-state creatives who travel into New Jersey to perform the work

  • or through a New Jersey–based post-production company operating in-state systems

The common requirement across these scenarios is that the post-production work itself takes place physically within New Jersey.

Types of Post-Production Work Commonly Reviewed

When post-production is reviewed as part of the incentive process, it often includes services such as:

  • Editorial

  • Assistant editorial

  • Color correction and finishing

  • Sound design and mixing

  • VFX

  • Conform and online

  • File preparation and delivery

  • Post supervision

  • NJ-based storage, compute, and supporting infrastructure directly tied to post-production services

Compensation is generally reviewed based on where the work is performed, not residency. Workers do not need to be New Jersey residents, but the work is typically expected to occur physically within the state.

Where NJ Remote Post Fits In

Because our infrastructure, compute, oversight, and labor operate from within New Jersey, we are able to:

  • Route your entire post workflow through NJ

  • Provide NJ-based editors, AEs, VFX artists, colorists, and technicians

  • Accommodate out-of-state creatives who travel to NJ to perform eligible work

  • Supply NJ tax-eligible machines, storage, and infrastructure

  • Document labor and services for compliance

  • Connect you with NJ-licensed CPAs who prepare verification reports

  • Maintain logs, timesheets, and documentation required for the NJ audit process

Your creative team can work from anywhere — as long as eligible labor sits physically in New Jersey.

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