Will Newsom's expanded tax credit program save California's film industry?

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Gov. Gavin Newsom unveiled plans over the weekend to raise the cap on California's film and TV tax credit program. Will it save Hollywood from ruin?

Amid mounting pressure from Hollywood to bring production and entertainment jobs back to California, Gov. Gavin Newsom unveiled plans Sunday to significantly raise the annual cap on the state's film and TV tax incentive program. During a news conference held at Hollywood's Raleigh Studios and attended by Los Angeles Mayor Karen Bass, as well as several entertainment union officials, Newsom declared his intent to increase the yearly limit to $750 million from $330 million.

'But it is very competitive given it’s in California, which has the greatest infrastructure and crews in the world.” This year, Bass appointed an entertainment industry task force to address the challenges Hollywood is facing. Ellen Goldsmith-Vein, chief executive of Gotham Group and the mayor’s task force’s chair, said she is glad the state is 'moving towards ... putting people back to work and creating opportunities for young people.

 

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