Film industry now asking California for tax relief

Film industry now asking California for tax relief

[Ed. – Waaa-aaahhhh.]

The industry’s decline in the Golden State has been difficult for individuals working in the entertainment industry to ignore.

From 2005 to 2013, California’s share of the one-hour TV series market declined from 64 percent to 28 percent, resulting in the loss of an estimated 8,500 jobs, the Film Works petition notes.

According to a report conducted by the San Francisco Film Commission, these job losses not only impact those who were formerly employed, but take a negative toll on the economy as a whole. The study found that every job lost in the film industry results in a loss of $112,000 in spending in the local economy.

And in the past 15 years, feature-film production in Los Angeles alone has declined almost 60 percent.

In an attempt to curve the drop in production, California passed a $100 million film tax incentive in 2009, but it was not enough to keep producers within state borders.

A growing list of states, including Georgia, Louisiana and New York, have established tax incentives that far exceed those passed in California.

These business-friendly policies have added millions to states’ economies. Louisiana is just one example of this phenomenon. The year before it enacted its tax credit (2002), production spending in Louisiana was only $3.5 million. By 2010, that figure had jumped to $674 million, making for a 19,000-percent increase. …
Among many others, the petition’s supporters include Warner Bros, FilmLA, the city and county of Los Angeles, and the national labor union representing working actors, SAG-AFTRA.

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