$75 Million in Tax Credits for Calif. Productions?

As it turns out, Gov. Schwarzenegger does support California tax incentives for film, according to The Hollywood Reporter. Though he didn't mention it in his State of the State address last week, THR managed to unearth three sentences in his proposed budget that indicates his support: "The governor continues to support bipartisan legislative efforts to address the economic impact of runaway production. Long-term revenue projections assume $75 million in annual tax credits available to production companies to encourage and retain filming in California beginning in (the) 2007-08 (fiscal year)."

This gives a glimmer of hope to the Calif. legislators, labor unions, and other industry folks who became disillusioned by the failure of the incentive bill AB777 last year. AB777 proposed a 12% production tax credit up to $3M per production, with some TV shows getting up to 15% back and commercial production co's getting 10% back. Industry folks are currently fine tuning the language of a new bill they hope to introduce this year.

>> Governor Backs Calif. Production Incentives [THR via Backstage, 1/11/06]

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