Danielle Muoio Dunn (Bloomberg):California Film Tax Credit Demand Rises Under Expanded Program:
California is seeing increased demand for its film and television tax credit program after expanding it to compete with similar incentives offered by New York and several European countries.
The state saw an 82% increase in applications for the benefit this fiscal year compared to last year, Gov. Gavin Newsom’s office said Tuesday. This is the first year California is allotting $750 million annually toward the tax credit program, more than double the prior $330 million funding cap.
“The first year of the expanded tax credit program is already delivering results — generating billions in economic activity, creating opportunities for businesses and the workforce, and bringing more productions home to California,” Newsom, a Democrat, said in a statement.
The California Film Commission approved more than 40 film and television projects to receive about $240 million in tax credits in its most recent application window for the tax benefit, according to data provided by the California Film Commission. State officials said 170 projects received the benefit this past fiscal year, which concluded June 30.
Winners announced Tuesday include the animated films “Donkey,” produced by DreamWorks Animation, and Disney’s “Hexed,” which were awarded $19 million and $18.5 million, respectively. Other beneficiaries include an untitled Warner Bros. project that received $42 million and the third season of “NCIS: Origins,” which secured $18.7 million.
