While New York film and television production has soared over the past decade, anyone concerned about keeping that production here better not sit back and relax just yet. Associated Press reporter Judy Lin reports that California state lawmakers are working to extend and expand the Hollywood tax credit created to keep film and TV production in California.
Lin reports that Cal Lawmakers plan to extend the tax credit by five years and expand it to cover more big-budget productions over $75 million. Senate Pres. Darrell Steinberg says that they want to end runaway production and “have California recapture this important part of our economy.”
Los Angeles Mayor Eric Garcetti once to increase its annual $100 million tax credit to compete with New York which offers some $420 million a year and credits.
The pending bill AB1839 will also offer aid 25% tax credit for any television shows that relocate to California within their first year of production.
According to a recent Los Angeles Times report, the number of top-grossing films made in California dropped some 60% in the past 15 years. Besides New York, producers have taken advantage of tax credits offered by North Carolina, Georgia, and Louisiana among the states, according to the LA Times. Foreign countries including South Africa and Canada have also been aggressively promoting their tax incentives the report said.
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