Gavin Newsom Proposing $1 Billion CA Film
Deadline • • entertainment
Key Points:
- California Governor Gavin Newsom has proposed increasing the state's film and television tax incentive program from $750 million to over $1 billion, making it the largest capped program in the U.S.
- The expanded program aims to boost investment in California's entertainment industry, which has lost over 50,000 jobs and seen production decline in recent years.
- Key changes include expanding eligibility to above-the-line expenditures, extending the tax credit sunset from five to ten years, offering a 5% boost for companies committing to multiple productions, and increasing independent film funding to $100 million annually.
- While it is unlikely Newsom will pass this increase before leaving office in 2027, his likely successor, Xavier Becerra, supports similar measures, increasing the chances of the proposal becoming law.
- The move is seen as a strategic effort to revitalize California’s film industry and bolster Newsom’s political profile ahead of potential future ambitions.
