Why Film Tax Incentives?

Film tax incentives have been known to attract and encourage film and television productions, thereby stimulating spending, tax revenues, job growth, and business development within a jurisdiction. Greater production activity also has the potential to inspire the artistic and cultural creativity of local filmmakers, and offer positive promotional exposure for a jurisdiction.

Examples:

* Louisiana passed several film tax incentives in 2002, when their annual production expenditure was just $20 million. With the help of these incentives, that figure grew to $210 million in 2003 and $335 million in 2004. High profile films such as Runaway Jury and Ray, and the upcoming Fantastic Four, All the King's Men, and Dukes of Hazzard were all drawn to Louisiana by its generous incentives. Additionally, local independent films have begun to flourish.

* In the 2 years since New Mexico passed its film tax incentives, the state has attracted 25 films that have generated $162 million in expenditures (up from just $8.8 million in 2002) and increased the local film crew labor pool six-fold, from 100 to 600 workers. One of these films was the upcoming Adam Sandler feature The Longest Yard, which considered shooting in Hawaii but decided that New Mexico had better incentives. Local independent films have begun to flourish here as well.

For more information, click on the articles below to learn how film incentives (or lack thereof) have affected other states and cities:

Successful Film Incentives:
New York
Louisiana
New Mexico

Pending Legislation:
Indiana
Texas
California

Disadvantages of Lack of Film Incentives:
San Francisco