February 7, 2025 Breaking News, Latest News, and Videos

California Expands Film Tax Credit Program to $750 Million in Bid to Keep Hollywood Productions Local

Governor Newsom Announces Historic Tax Credit Increase to Boost California’s Film Industry

In a long-awaited move to boost California’s film industry, Los Angeles Mayor Karen Bass joined Governor Gavin Newsom and leaders from the entertainment and labor sectors to announce an unprecedented expansion of California’s Film and Television Tax Credit Program. The proposed expansion would increase the program’s budget to $750 million annually, more than doubling the current allocation of $330 million. If approved, this initiative would position California as the top state for capped film incentive programs, surpassing competitors like New York.

“Hollywood is the cornerstone of this city and our economy, and our message to the industry today is clear – we have your back,” said Mayor Bass. “When I was Speaker of the California State Assembly, I worked to support leaders like now-Councilman Paul Krekorian to create the film tax credit. Despite economic challenges, we knew the industry needed support, and if we could start the program, we could grow it. Today, I’m proud to stand with Governor Newsom and industry leaders to continue supporting this legacy industry.”

Governor Newsom underscored California’s unique status as the entertainment capital of the world, emphasizing that the expansion will generate thousands of jobs and strengthen ties between the industry and local communities. “California is the entertainment capital of the world, rooted in decades of creativity, innovation, and unparalleled talent,” he said. “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.”

This program has been oversubscribed year after year, with more productions applying than can be accommodated under the current cap. Between 2020 and 2024, data shows California lost production spending due to limited tax credit funding and increased competition in other states and countries, directly impacting state jobs and local economies​​.

In recent years, projects that were unable to secure California’s tax credits and moved to other locations as a result contributed to significant economic losses, with an estimated 71% of rejected projects subsequently filming out-of-state.

Mayor Bass’s administration has already taken several steps to support the local entertainment sector:

  • Formation of an Entertainment Industry Council: The council, comprising industry experts, focuses on reversing the trend of productions leaving Los Angeles and retaining local jobs.
  • Executive Directive 8: This initiative supports the workforce and streamlines studio projects, promoting policies that encourage productions to remain in Los Angeles.
  • Studio and Sound Stage Concierge Services: New services assist productions by cutting bureaucratic delays and coordinating with city departments. The program has facilitated seven new studio and sound stage projects, and an additional 8.1 million square feet of production space is currently in development within Los Angeles.

study of the program found that, for every tax credit dollar approved, it generated at least $24.40 in output, $16.14 in GDP, $8.60 in wages, and $1.07 in initial state and local tax revenue from production in the state. 

Since its inception in 2009, California’s Film & Television Tax Credit Program has generated over $26 billion in economic activity and supported more than 197,000 cast and crew jobs across the state. 

California previously updated the program to include new workforce diversity provisions, more funding for the Career Pathways Training Program, and the nation’s first Safety on Production Pilot Program.

Tax credits will become refundable for the first time since the program’s inception in 2009, beginning with Program 4.0 set to commence on July 1, 2025.

<>Related Posts

Best Spots to Celebrate Valentines, Galentines, or Have a Super Bowl Party on the Westside

February 6, 2025

February 6, 2025

Cocktails, Game Day Grub, Valentine’s Pasta, and a Lonely Heart’s Tea Service You will find many excellent ways to celebrate...

Dead Body Found on Sands of Venice Beach, Investigation Underway

February 5, 2025

February 5, 2025

A death investigation is underway By Zach Armstrong A death investigation is underway after local officials discovered a dead body...

Will Rogers State Beach to Become Temporary Hazardous Waste Site

February 5, 2025

February 5, 2025

The site, located on flat, open land near the burn zone, will serve as a staging area where materials will...

FDA Issues High-Risk Recall for Pre-Packaged Broccoli Florets Sold at Walmart

February 5, 2025

February 5, 2025

Recall Is Now Classified as Class I Due to Seriousness Of Contamination The U.S. Food and Drug Administration has classified...

Matū Kai Brings Its Signature Wagyu and Famous Cheesesteak to Brentwood

February 5, 2025

February 5, 2025

Team Behind Beverly Hills’ Acclaimed Matū Is Opening a Second Location One of Beverly Hills’s newest and most popular restaurants,...

SaMoHi Science Teacher Arrested for Alleged Student Relationship

February 5, 2025

February 5, 2025

Ingo Gaida Faces Misdemeanor Charges After Investigation into Inappropriate Conduct A Santa Monica High School science teacher was arrested Wednesday,...

Supermarket Reopens in Palisades Following Wildfire Damage

February 4, 2025

February 4, 2025

The store is currently operating on a generator until power is fully restored The Vons supermarket at 17380 W Sunset...

State Farm Seeks Emergency Rate Hike, Citing Wildfire Losses—Consumer Advocates Push Back

February 4, 2025

February 4, 2025

Insurer Requests up to a 38% Rate Increase, but Critics Call It an Unjustified Cash Grab In a press release...

Santa Monica’s Earth, Wind & Flour to Close After More Than Four Decades

February 4, 2025

February 4, 2025

Known for its laid-back atmosphere and commitment to traditional California Italian cuisine, Earth, Wind & Flour has remained largely unchanged...

Palisades Charter High School to Host Benefit for Students Affected by Fires

February 4, 2025

February 4, 2025

Proceeds from the benefit will go toward replacing essential student resources lost in the fires, including sporting equipment, musical instruments,...

World-Renowned Trumpeter Plays on Ruins of Palisades Home

February 4, 2025

February 4, 2025

Lindemann, a professor at UCLA and a former lead trumpeter with the Canadian Brass, has performed in prestigious venues worldwide...

(Video) Los Angeles Marathon Returns For 40th Anniversary

February 4, 2025

February 4, 2025

Register at mccourtfoundation.org Register at https://t.co/9GnO70uEvh pic.twitter.com/EM8auAYUtm — Santa Monica Mirror (@SMMirror) February 4, 2025

Santa Monica Continues to Seek Partnership to Reopen Civic Auditorium

February 4, 2025

February 4, 2025

The selection process for a development team began in late 2023, when the City Council invited Letters of Interest from...

Breaking News: Pacific Coast Highway to Close Tuesday Due to Storm Risks

February 3, 2025

February 3, 2025

Cal Trans Reverses Decision to Open the Highway to Residents This Week After Cal Trans District 7 announced that Pacific...

Palisades Skate Shop Featured in Grammy Commercial After Wildfire Loss

February 2, 2025

February 2, 2025

In December, the shop marked its 25th anniversary with a celebration featuring live music and reflections on its history A...