Chicago Film Tax Credit Illinois: The Complete Producer’s Guide to SB 1911 and the Midwest’s Most Competitive Incentive
For decades, Illinois has been a serious player in the national production landscape, but the state’s tax incentive structure often lagged behind competitors in Georgia, New York, and New Mexico. That changed definitively on December 12, 2025, when Governor JB Pritzker signed Senate Bill 1911 into law, enacting the most significant upgrade to the Chicago film tax credit Illinois has seen in over a decade. For any producer, line producer, or UPM weighing the financial case for shooting in the Midwest, understanding the specifics of this program is no longer optional. And for local professionals from production coordinators to freelancers offering Chicago videographer services the expanded credit directly affects hiring volume and project budgets.
The Core Credit Structure Under SB 1911
The enhanced Illinois Film Production Tax Credit, effective for productions commencing on or after July 1, 2025, establishes three primary credit tiers. Illinois resident labor receives a 35% credit on expenditures up to $500,000 per worker, increased from the previous 30% rate. Spending with Illinois-based vendors also qualifies for a 35% credit, up from 30%. Non-resident wages receive a 30% credit on the first $500,000 per worker, with expanded eligibility for up to 13 non-resident technical positions, increased from the previous cap of 9.
Non-resident actors receive a 30% credit on the first $500,000 per actor, with the number of eligible actors tiered by project budget: four actors for projects budgeted under $20 million, five actors for projects between $20 million and $40 million, and six actors for projects exceeding $40 million. For television series, these limits apply on a per-episode basis, which is an important distinction for line producers budgeting multi-episode orders.
Stackable Bonuses That Change the Math
What makes the Illinois incentive particularly competitive under SB 1911 is its system of stackable bonus credits. A 5% regional bonus applies to productions shooting outside Chicago’s core counties (Cook, DuPage, Kane, Lake, McHenry, and Will), incentivizing production activity in downstate and rural communities across the state’s 39 counties, 30 of which are designated as rural. An additional 5% credit is available for television series relocating to Illinois for their first season of production spend in the state. Productions implementing a certified “green” sustainability plan also qualify for a 5% bonus.
These bonuses are cumulative, meaning a qualifying production could theoretically access an effective credit rate significantly above the base 35%. For independent filmmakers in particular, the bonus credits and broader expense categories make regional shoots and smaller-budget projects more financially attainable than they were under the previous structure.
Minimum Spend and Eligibility Requirements
One of the Illinois program’s most significant advantages is its low barrier to entry. The minimum qualifying spend is just $100,000 for projects with a runtime of 30 minutes or more, and $50,000 for projects under 30 minutes. This is dramatically lower than many competing state programs and opens the door for independent features, short films, web series, and commercial productions that would be excluded from incentive programs in states with higher thresholds.
The credit is fully transferable, which means productions that don’t have Illinois tax liability can sell their credits on the secondary market. There is no annual cap on the total amount of credits the state will issue a critical differentiator from states like California, which caps its program at $750 million. The program’s sunset date has been extended to December 31, 2038, providing long-term stability for production planning and studio investment decisions.
New Expense Categories and Travel Benefits
SB 1911 introduces several practical expansions to what qualifies as a production expense. Notably, airline tickets now qualify as production expenses when purchased from an airline with corporate headquarters domiciled in Illinois a provision that effectively benefits United Airlines flights booked through Chicago. Productions filming in Chicago for 30 or more consecutive days also qualify for an exemption from the city’s 11.9% Hotel Occupancy Tax, with a retroactive credit available for qualifying stays.
Post-production expenses continue to qualify under the credit, reinforcing Illinois’ push to keep the full production pipeline within the state rather than losing post-production work to Los Angeles or New York facilities.
How Illinois Compares to Competing Markets
With the SB 1911 enhancements, Illinois now offers one of the most competitive incentive packages in North America. Georgia’s program offers a 20% base credit with a 10% uplift for including a promotional logo effective at 30%, but without the stackable bonus structure Illinois now provides. New York’s program offers a 30% credit but with annual caps and more complex qualification requirements. Louisiana offers a 25% base with potential uplifts to 40%, but recent program instability has created uncertainty.
Illinois’ combination of a 35% base rate on resident labor and vendor spend, no annual cap, low minimum spend thresholds, stackable bonuses, and a 13-year sunset window makes it exceptionally attractive for both major studio productions and independent projects. The state’s production infrastructure anchored by Cinespace’s 36 stages and The Fields Studios’ purpose-built campus provides the physical capacity to absorb increased production volume.
The Advocacy Infrastructure Behind the Credit
The passage of SB 1911 was not accidental. It was the result of a two-year advocacy campaign led by the Illinois Production Alliance, in collaboration with IATSE Local 476, the Motion Picture Association, and a bipartisan coalition of state legislators. The IPA’s economic impact study, conducted by international consultancy Olsberg SPI, provided the empirical foundation for the legislative push, demonstrating that the tax credit has been a key driver of economic activity and that it attracts productions that would not otherwise film in the state.
For producers considering Illinois, the IPA and the Illinois Film Office serve as the primary institutional contacts. The Illinois Film Office, directed by Peter Hawley since 2019, processes tax credit applications and assists productions with everything from location scouting to interacting with other government agencies. The office has been celebrating its 50th anniversary, underscoring the state’s long-term commitment to the industry.
The bottom line for production budgets is clear: the Chicago film tax credit under SB 1911 makes Illinois one of the most financially advantageous places to shoot in the United States. For productions of any scale from a $50,000 short film to a $100 million feature the math deserves serious consideration.
