The Los Angeles area, long considered the center of film and TV production in the U.S., has struggled to retain its hold in recent years, losing business to Canada and other states that offer more attractive incentives.
HOLLYWOOD — Gov. Gavin Newsom was on location in Hollywood Sunday, where he unveiled a proposal to more than double the tax credit the state offers to producers of films and TV shows that shoot in California.
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Appearing with industry union leaders, Los Angeles Mayor Karen Bass and state Sen. Anthony Portantino, D-Burbank, Newsom announced a plan to boost the annual tax credit from its current $330 million to $750 million, which would represent the largest amount offered by any state except Georgia, which has no cap on its credits.
The plan, which still needs approval by the state Legislature, could take effect as early as July 2025.
The Los Angeles area, long considered the center of film and TV production in the United States, has struggled to retain its hold in recent years, losing business to Canada and other states that offer more attractive incentives, most prominently New York and Georgia.
“We wanted to reconcile the stress that’s been building up here for, frankly, the better part of a decade,” Newsom said, referring to the competition from other places, the coronavirus pandemic and the crippling writers and actors strikes of 2023.
“I don’t know how they can continue to afford that program (in New York), and we’ll see” how it goes in Georgia, he added.
In a statement released earlier Sunday, Newsom called California “the entertainment capital of the world, rooted in decades of creativity, innovation, and unparalleled talent. Expanding this program will help keep production here at home, generate thousands of good-paying jobs, and strengthen the vital link between our communities and the state’s iconic film and TV industry.”
Bass, who worked on California’s original film tax credit policy in 2009 when she was speaker of the state Assembly, said, “We have to do everything we can to strengthen and protect one of the foundational blocks of our economy in Los Angeles.”
Hey where is my tax credit giving me close to 50% reduction in all my State taxes?
Remember the millions handed out to the Democrats in Sac. that are be carried by tax credits. One hand washes the other.
Think about it…. the minimum wages in L.A. skyrocket …. the Minimum wage in the State is not far behind. That makes doing business in Calif. almost impossible. And the Democrats wonder why people and companies are leaving???????? Laugh.
How about that you voted for them, they then gave you minimum wages that are unsustainable, and it costs you $15-20.00 for a hamburger that 4 years ago would cost you $8.00.
You voted for them…. are you that ignorant?