TSA: Film Credit Transfer or Sale Application (2024)
Massachusetts · Massachusetts DOR · Used for tax years 2024
Massachusetts Form TSA is an application to transfer, sell or assign film payroll or production expense tax credits. It identifies the transferor, transferee and project, and reports the credit certificate number, amount of credit transferred and amount paid by the transferee.
Who files this form
A holder of film payroll or production expense credits who wants to transfer, sell or assign the credits must obtain a certificate before transferring them to another taxpayer. Holders may include production companies, transferees, buyers and assignees.
The transferor must provide Form TSA and the original credit certificate. A separate application is required for every individual or business transfer, including a transferee’s distribution or assignment to partners, members or owners.
Partnerships and S corporations transferring credits to members must complete a Form TSA for each member showing that member’s apportioned credit.
What you'll need
Provide:
- The original certificate issued by the Massachusetts Department of Revenue (DOR).
- A completed Form TSA, signed by the transferor to acknowledge the sale, except for the member-transfer exception below.
Have these details ready:
- Names, addresses and Social Security or Federal Identification numbers for the transferor and transferee.
- The designated production company representative’s name, telephone number and email address.
- The project name and address.
- The DOR certificate number, total credit being transferred and amount paid by the transferee.
The form includes an authorized representative’s declaration and a notary section.
For partnerships and S corporations transferring credits to members, the seller acknowledgment is not required. Only the Declaration must be signed by the General Member.
How to file
- Complete the taxpayer, representative and project information for calendar year 2024 or the taxable year beginning in 2024.
- Enter the DOR certificate number. In Box 1, enter the total credit being transferred. In Box 2, enter the amount paid by the transferee.
- Complete the applicable acknowledgment, declaration and notary sections. If a POA is handling the sale, the POA must get the seller’s acknowledgment signature before signing the Declaration and submitting the request.
- Mail the completed application and original certificate to:
Massachusetts Department of Revenue
Audit Division
200 Arlington Street, Room 4300
Chelsea, MA 02150
Attn. Film Credit Unit
After approval, DOR will issue a Transfer or Sale Film Credit Certificate showing the amount transferred. Enter the certificate number and credit amount on the appropriate line of the Massachusetts tax return. A transferee must use the appropriate Transfer or Sale certificate number and credit amount.
Common mistakes
- Submitting a POA-handled sale request before getting the seller’s signature. The seller must sign the acknowledgment before the POA signs the Declaration and submits the request.
- Using one application for multiple transfers. Each individual or business transfer needs a separate application.
- Leaving certificate information off the tax return. Enter the appropriate certificate number and credit amount on the Massachusetts return.
- Assuming a transfer restarts the carryforward period. Transferring, selling or assigning a credit does not extend the five-year carryforward period.
Questions people ask
Can I transfer only part of a credit?
Yes. A taxpayer subject to Massachusetts personal income tax or corporate excise may transfer, sell or assign all or part of either credit to one or more taxpayers subject to those taxes.
Can an outstanding tax obligation affect a transfer?
Yes. A potential transferor with an outstanding Massachusetts tax obligation connected to any motion picture for a prior taxable year is not eligible to transfer, sell or assign the credits. A transferee with an outstanding tax liability is subject to offsets before the credit is applied against current tax liability.
How long can a recipient carry forward the credit?
Transferees, buyers and assignees may use and carry forward credits to any of the five taxable years after the first taxable year the credits were allowed to the initial transferor. A transfer does not extend that period.
What happens after DOR approves the application?
DOR issues a Transfer or Sale Film Credit Certificate showing the amount of credit transferred.
Who can answer questions about Form TSA?
Contact the Film Credit Unit at 617-887-6978.