A grant paid in cash
North Carolina runs its incentive as a grant, which works like a cash rebate: the state pays back up to 25% of qualified spending in North Carolina. There's no credit to sell and no broker's discount to budget. The fund is $31 million in recurring money per fiscal year (July 1 to June 30), set in the state budget with no sunset date.
"Up to" matters. The film office sets the award for each project, and a production shouldn't assume the full 25% until it has an approval.
Minimums and caps by project type
| Project type | Minimum NC spend | Maximum grant |
|---|---|---|
| Feature film | $1,500,000 | $7,000,000 |
| Made-for-TV or streaming movie | $500,000 | $7,000,000 |
| TV or streaming series | $500,000 per episode (average) | $15,000,000 per season |
| Commercial | $250,000 | $250,000 |
A $1,000,000 theatrical indie can't qualify as a feature. The same script produced as a made-for-streaming movie clears a $500,000 bar, so the distribution deal can decide whether you get a rebate.
What counts
The film office lists goods, services, compensation and wages, fringes, per diems, living expenses, and stipends. Fringes count, which isn't true everywhere: pension and health contributions on union crew are part of qualified spend here.
Two limits apply to people. Only the first $1 million paid to any single person counts, resident or nonresident. And payments to out-of-state loan-out companies carry 4% withholding, so tell your payroll company and your talent's reps early.
Worked example: a $1,000,000 streaming movie
A holiday movie for a streaming service shoots 18 days around Wilmington. Of its $1,000,000 budget, $700,000 is spent in North Carolina: $390,000 in crew wages and fringes, $70,000 in per diem and lodging, and $240,000 in rentals, locations, catering, and set materials.
- North Carolina spend: $700,000 (above the $500,000 minimum)
- Grant at 25%: $700,000 x 25% = $175,000
The out-of-state director and two leads are paid through loan-outs totaling $150,000, which counts. With 4% withheld: $150,000 x 4% = $6,000 held back from those payments.
Worked example: a $5,000,000 feature
A feature spends $3,600,000 in North Carolina. Its lead is paid $1,400,000, and only the first $1,000,000 counts, so $400,000 comes out.
- Qualifying spend: $3,600,000 minus $400,000 = $3,200,000
- Grant at 25%: $800,000, well under the $7,000,000 feature cap
Because the annual fund is $31 million, a few large series can take most of a year's money, so ask the film office what's left in the current fiscal year before locking dates.
Applying and timing
- Send the intent-to-film form to the North Carolina Film Office no earlier than 180 days before principal photography. Attach the script.
- Make sure the application is complete no later than 30 days before principal photography.
- Track spending by the categories the program lists, with the $1 million per-person limit flagged in your cost report.
- Before wrap, confirm with the film office what final cost documentation it needs to release the grant.
For a series, the $500,000 minimum is an average per episode, so a cheaper bottle episode doesn't sink the season as long as the average holds.
North Carolina against the Southeast
Georgia is the usual comparison; see its page for how a transferable credit differs from a cash grant. Check South Carolina, Virginia, and Tennessee as well. Compared with Pennsylvania, which pays 25% as a transferable credit you use against Pennsylvania tax or sell, North Carolina's 25% comes as a payment. The incentive calculator and incentives hub put them side by side, and how film tax credits work explains rebates versus credits.
Storiara's budgeting feature groups costs into above the line, below the line, post, and other.