Giggster Reveals Best and Worst States for Filmmakers in 2026 as Industry Faces Economic Headwinds

As the film industry navigates slower box office returns and declining production volume, Giggster has released a comprehensive ranking of all 50 U.S. states for filmmakers, revealing significant disparities in production support across the country.

The study, which evaluated states across 14 metrics and scored them out of 100 points, found California leading the nation with 84 points, while Alaska, Delaware, Iowa, and North Dakota tied for last place with zero points due to the complete absence of film incentive programs.

California Dominates with Nation’s Most Generous Incentives

California secured the top ranking by offering refundable and transferable tax credits of 35% to 50%, the highest in the nation. The state recently doubled its annual allocation from $330 million to $750 million—eight times the national average of $88 million—positioning itself as the undisputed leader in production support.

New York claimed second place with a score of 72 out of 100, offering generous refundable tax credits and maintaining a $700 million annual cap. Virginia rounded out the top three with a combined incentive package reaching up to 40% of qualified spending.

Regional Divide Emerges in Production Support

The analysis revealed stark geographic patterns in filming support. Three of the top 10 states are located in the West—California, Washington, and New Mexico—while five of the bottom 10 states are in the Midwest, highlighting a regional divide in commitment to the film industry.

Washington distinguished itself with a unique cash rebate model rather than traditional tax credits, offering 30% to 35% cash rebates with potential bonuses bringing totals to 45%. Meanwhile, states like Illinois and Massachusetts made the top 10 by offering accessible minimum spend thresholds of just $50,000 and no annual funding caps.

What Sets Top States Apart

The ranking balanced not only the financial value of incentive programs but also the range of opportunities, flexibility, accessibility, and diversity of options from filmmakers’ perspectives. Top-performing states distinguished themselves through:

• Refundable and transferable tax credit structures that provide maximum flexibility
• High or unlimited annual funding caps ensuring year-round access
• Low minimum spend requirements making programs accessible to independent productions
• Additional support including workforce training programs, diversity incentives, and infrastructure grants

Bottom-Ranked States Lack Basic Incentives

At the opposite end of the spectrum, four states—Alaska, Delaware, Iowa, and North Dakota—offered no film incentive programs whatsoever. New Hampshire, South Dakota, and Wyoming tied for 45th place, each earning just 7 out of 100 points despite offering limited grant funding options.

Implications for Productions in 2026

The study arrives as the film industry continues to face mounting challenges, including slower box office returns, declining production volume, and growing uncertainty over proposed tariffs on foreign-made films. However, many U.S. states have responded by expanding or restructuring their incentive programs with higher tax credits, simplified applications, and bonus provisions for local hiring.

The research drew on over 83 data sources, including official government websites, industry publications, and direct correspondence with state film offices, making it the most comprehensive state-by-state analysis of filming incentives available to production companies.

About the Methodology

Giggster’s ranking system allocated 100 total points across four categories: Incentive Type (50 points), Program Caps & Limitations (25 points), Production Cost Relief (15 points), and Other Support for Filmmakers (10 points). Each metric was weighted based on the strength of financial return, ease of access, and reliability of the incentive.For the complete ranking, detailed methodology, and state-by-state breakdown, visit giggster.com/guide/best-worst-states-for-filming-2026.

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