California is stepping up to the mark to make sure that Hollywood stays where it should be . . . right here in Hollywood, isn’t that something?
We all know that making movies is big business which generates millions of dollars for the economy but it also costs a lot of money to make a movie (even one which flops) so production companies have to look around for ways to save some cash here and there.
Hollywood is the epicenter of the Worlds movie industry but the reality is that it’s not the only option for film makers. If a production company can make a movie in a cheaper place it all helps to keep their costs down.
Some far flung countries have a much cheaper cost of living with lower employment rates and taxes which can all add up to huge savings and let’s face it . . . a movie set can be erected just about anywhere these days.
Florida and Canada have been getting in on the act a little too much lately by offering tax exemptions and it was time to fight back.
Fortunately California has risen to the challenge and given the opportunity for some independent projects and non independent feature films to have a little bit of help with their finances.
On 13th July applications open for some projects in need of a helping hand with $48.3 billion in tax credits being made available for Feature Films and $6.9 million for independent projects.
So who or what is eligible to get hold of some of these tax credits?
20% Tax Credit – for feature films with a minimum budget of $1 million, mini-series and movies of the week with a $500,000 minimum budget, TV pilots with $1 million budget. Some projects may be eligible for up to 25% tax credits. That’s just a few examples of the numbers we’re talking about.
What does this mean?
It means that there’s a very good chance that Hollywood will retain its crown as the “go to location” for the movie industry. Hey, it all started here in California and we’re not letting it go without a fight.
This is great news all round because what goes around comes around and the more new movie production that goes on in and around our fair city the better it will be for all concerned. The knock-on effect of this will reach far and wide into every other type of business and industry in the area, which I’m sure you will agree it is great news for all of us.
Next time you’re trying to get to work in a hurry and you discover that the roads have been closed for filming, or there’s a traffic queue for miles because of some red carpet event just smile and be glad that it’s all still happening here in Hollywood. After all, Hollywood is the movies, it’s the way it’s always been and by the looks of things it will continue to be the way of things for the future too.
Hooray for Hollywood!