Independent Programmers Tax Incentive Act

Summary

Creates a new nonrefundable tax credit for multichannel video programming distributors (including virtual MVPDs) that add or expand paid carriage of U.S.-based independent programmers, with limits based on license fees and subscriber reach. Requires the FCC to report every two years on distribution of qualifying independent programmers and allows the Treasury to share limited taxpayer return information with the FCC to prepare those reports.

• Creates a nonrefundable tax credit for MVPDs and virtual MVPDs that add or expand paid carriage of qualifying U.S.-based independent programmers.
• Credit per agreement equals the lesser of net license fees paid or $0.10 times average monthly subscribers; total annual credit per distributor capped at $0.30 times average monthly subscribers.
• Qualified carriage requires paid licensing and expansion or new carriage reaching at least 40% of the distributor's subscribers.
• Defines eligible independent programmers as U.S.-based, nonpublic entities without disallowed ownership interests.
• Expenses claimed as the credit are not deductible; the credit is included in the general business credit rules.
• FCC must report to Congress within 180 days and biennially thereafter on distribution of qualified independent programmers and propose ways to increase distribution.
• Treasury may share return information with FCC staff, limited to preparing those FCC reports; reports cannot include taxpayer-identifiable return details.
• Applies to expenses paid or incurred after enactment in taxable years ending after enactment.