This column has been a strong proponent of commercials and branded content gaining eligibility for tax credits, rebates and other filming incentive programs. Thankfully a growing number of states has seen the prudence of such inclusion yet ironically California–long regarded as the film/TV production mecca–is not among them when it comes to its Film & Television Tax Credit Program which was part of last year’s state budget agreement.
But it’s not just the :30 and its ad brethren that have been given short shrift. California’s Tax Credit Program, now in its second year, had an allocation of $100 million this current fiscal year for qualifying features and TV programs. That $100 million dance card was filled in a single day by 30 projects, leaving in limbo another 30 or so eligible productions that filed for the incentives. These pending projects are currently entries on the dreaded wait list. It’s likely that they won’t wait all that long; these projects will just go to other states or countries offering competitive subsidies.
And what of those projects down the road that qualify but won’t bother to file in that California’s allocation for this fiscal year is already used up? Clearly it’s not just the :30 and the 30 wait-listed projects that will go without in California–it’s an untold number of other productions that will wind up elsewhere.
Some would argue that California is being fiscally responsible by not increasing its tax credit allocation to accommodate filmmaking. After all, the state is in a budget crisis.
Yet the fact is that the budget quagmire and shortfall should instead spur on better funded, more inclusive filming incentives in order to dramatically increase sorely needed revenue for the state’s economy. Consider the impact thus far of the California tax credits. In its first year, the program–administered by the California Film Commission (CFC)–allocated $200 million in tax credits to 77 projects. This year, another 30 projects are set to receive an additional $100 million in tax credit allocations. Together, they are estimated to bring $2 billion in direct spending to California communities, which includes $736 million in wages paid to “below-the-line” crew members (electricians, grips, drivers, costumers, etc), according to data compiled by the CFC.
Governor Arnold Schwarzenegger (R-Calif.) said that the incentive initiative has created and retained tens of thousands of jobs while generating spending in the Golden State.
The CFC reported that the 77 first-year projects approved for tax credits will hire 18,200 crew members, 4,000 cast members, and over 100,000 background or “extra” players. These approved projects include 51 feature films, both studio and independent, seven television series and 14 made-for-television-movies.
Meanwhile the Milken Institute, a nonprofit economic think tank, issued a report which noted that while it’s a tough time for the state to afford targeted or expanded tax breaks, “California can’t afford not to” in the case of the filming business. The report went on to read, “The state can’t squander any opportunities to retain and add significant numbers of high-paying jobs.”
Angelina Jolie and Brad Pitt Reach Divorce Settlement After 8 Years
Angelina Jolie and Brad Pitt have reached a divorce settlement, ending one of the longest and most contentious divorces in Hollywood history but not every legal issue between the two.
Jolie and Pitt signed off on a default declaration filed in Los Angeles Superior Court on Monday, saying they have entered into a written agreement on their marital and property rights. The settlement was first reported by People magazine.
"More than eight years ago, Angelina filed for divorce from Mr. Pitt," Jolie's attorney, James Simon, said in a statement. "She and the children left all of the properties they had shared with Mr. Pitt, and since that time she has focused on finding peace and healing for their family. This is just one part of a long ongoing process that started eight years ago. Frankly, Angelina is exhausted, but she is relieved this one part is over."
The filing says they give up the right to any future spousal financial support, but gives no other details. A judge will need to sign off on the agreement. An email late Monday night to Pitt's attorney seeking comment was not immediately answered.
Jolie, 49, and Pitt, 61, were among Hollywood's most prominent pairings for 12 years, two of them as a married couple. The Oscar winners have six children together.
Jolie filed for divorce in 2016, after a private jet flight from Europe during which she said Pitt physically abused her and their children. The FBI and child services officials investigated Pitt's actions on the flight. Two months later, the FBI released a statement saying it would not investigate further, and the U.S. attorney did not bring charges.
A heavily redacted FBI report obtained by The Associated Press in 2022 said that an agent provided a probable cause... Read More