Sweetened $850 Billion Bailout Package Includes Better Tax Breaks For TV And Film Studios
This story was written by Matt Kapko.
Turns out Wall Street isn't the only beneficiary of the sweetened $850 billion package approved by the Senate Wednesday and now waiting for a Friday House vote. Wrapped up in all those "sweeteners" that have been added to the bill are a pair of tax breaks worth more than $450 million that will directly benefit the film and TV industry over the next decade, LAT reports. Unions and industry groups have been pushing for changes that might ebb the flow of talent and production that's moved to "Hollywood North" in Vancouver, Canada and other countries with better tax breaks for producers. One of the bill's provisions would qualify filmmakers for a 32 percent top tax rate instead of 35 percent, essentially giving TV and film producers the same tax deductions American manufacturers enjoy for making products in the U.S. A second provision would lift the total deductions allowed for a film, thereby enabling producers to deduct all production costs up to $15 million regardless of the total budget.
By Matt Kapko