COVID Stimulus Bill Includes Sweeteners for Film and TV Industry

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Congress is poised to pass the $900 billion COVID stimulus bill that includes several special provisions for the film and TV industry, including an extension of a tax break for studios and production companies and billions for small theater chains.

The $900 billion COVID stimulus bill includes several special provisions for the film and television industry, including an extension of a tax break for studios and production companies and billions for small theater chains.

The stimulus bill also includes a five-year extension of a tax deduction for film, TV and live theatrical productions. Under Section 181 of the tax code, productions are allowed to deduct up to $15 million of the cost of a production in the year it was incurred, rather than wait until the project is released. The provision was set to expire on Dec. 31, though it is typically extended year to year.

The Motion Picture Association and its offshoot, the Alliance for Creativity and Entertainment, have been pursuing operators of pirate streaming sites in civil court, sometimes obtaining substantial judgments and orders to shut down. But now they will have greater leverage to involve the FBI and federal prosecutors in such cases.

 

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