California, September 22, 2025
News Summary
California has announced a significant expansion of its Film and TV Tax Credit Program, allocating $256 million to support local production. This move aims to attract more producers to film in the state and preserve its status as a prime filming location. The expanded program has led to a surge in applications and is projected to generate $1.1 billion in economic activity, creating around 6,500 jobs. With new tax credits of up to 40% for productions outside Los Angeles, California remains competitive against other filming destinations.
California has made a significant commitment to boosting its film and television industry by expanding the Film and TV Tax Credit Program, with $256 million awarded to support local production. This decision is part of the state budget that was finalized in June 2023, which included cuts to several health and welfare programs to address a budget shortfall. The state has more than doubled the subsidy for the film and video industry to $750 million for tax credits.
The increased tax credits aim to attract producers to shoot in California instead of competing states or overseas locations. This initiative is part of the broader effort to maintain California’s reputation as the leading location for film production. The governor emphasized the necessity of remaining competitive, reinforcing California’s legacy as the “best place” to conduct business.
The film and video subsidy is one of numerous tax expenditures that benefit specific economic sectors or corporations, collectively reducing state revenues by over $100 billion annually. In response, public employee unions have pushed for a reduction of corporate tax breaks to help manage the state’s ongoing budget deficit.
Since 2011, local governments in California have redirected property tax allocations from redevelopment zones to school districts following the dissolution of redevelopment. Cities have also implemented various subsidies such as sales tax rebates to stimulate taxable business investments. A report from the Legislative Analyst’s Office noted that $140 million in rebate subsidies flowed from local governments to sellers in the 2023-24 fiscal year.
Following the expansion of the film and television tax credit program, California has seen a remarkable increase in applications for these tax incentives, soaring by nearly 400%. In the most recent funding round, a total of 22 television shows received a combined amount of $256 million in credits. These productions are anticipated to generate approximately $1.1 billion in economic activity for California and create around 6,500 jobs for cast and crew members.
The majority of the funded productions will film in the greater Los Angeles area, but some will extend to other regions of the state. The updated incentives now offer a tax credit of up to 35% for productions shot in Los Angeles and up to 40% for those filmed outside the region. Eligible productions have been expanded to include half-hour shows, large-scale competition shows, and animated series, updating previous requirements.
Major networks and streaming services, including Apple TV+, Netflix, and CBS, have seen productions awarded tax credits. Specific shows benefitting from the tax credits include “The Studio,” “Presumed Innocent,” and various new pilot productions. The California Film Commission remains proactive in reassessing the tax incentive program to sustain its competitiveness against other jurisdictions.
The total estimated economic benefit from the 22 funded productions consists of $714 million in qualified expenditures and $413 million in qualified wages, further bolstering the state’s economy.
FAQ
What is the budget allocation for California’s Film and TV Tax Credit Program?
The budget includes a significant legislative change, more than doubling the subsidy to the film and video industry to $750 million for tax credits.
How much was awarded in credits in the recent funding round?
In the recent round, 22 television shows received a combined total of $256 million in credits.
What kind of economic impact is expected from the funded productions?
The funded shows are anticipated to generate approximately $1.1 billion in economic activity in California and create around 6,500 jobs for cast and crew members.
What are the updated tax credit percentages for productions?
The new incentives allow for a tax credit of up to 35% for productions filmed in L.A. and up to 40% for those shot outside the region.
Key Features of California’s Film and TV Tax Credit Program
| Feature | Details |
|---|---|
| Overall budget for film and video industry tax credits | $750 million |
| Recent round of credits awarded | $256 million for 22 shows |
| Expected economic activity generated | $1.1 billion |
| Jobs created | Approximately 6,500 |
| Tax credit percentage for L.A. productions | Up to 35% |
| Tax credit percentage for productions outside L.A. | Up to 40% |
| Qualified expenditures from funded productions | $714 million |
| Qualified wages from funded productions | $413 million |
Deeper Dive: News & Info About This Topic
- Los Angeles Times: 22 Productions Selected for California Tax Credits
- Deadline: California Film & TV Production Tax Incentives
- New York Times: California Production Tax Credit
- Cined: California Raises Film Tax Credits
- Google Search: California film tax credits
Author: Anaheim Staff Writer
Anaheim Staff Writer The Anaheim Staff Writer represents the experienced team at HEREAnaheim.com, your go-to source for actionable local news and information in Anaheim, Orange County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as major conventions at the Anaheim Convention Center, including NAMM and VidCon, exciting games at Angel Stadium and Honda Center, and developments at Disneyland Resort Our coverage extends to key organizations like the Anaheim Chamber of Commerce and Visit Anaheim, plus leading businesses in hospitality, entertainment, and innovation that power the local economy As part of the broader HERE network, including HERECostaMesa.com, HEREHuntingtonBeach.com, HERESantaAna.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
