January 4, 2025 #1 Local News, Information and Event Source for the Century City/Westwood areas.

Los Angeles Council Supports Film Tax Credits Legislation

film tax credits
The Los Angeles City Council voted in favor if supporting AB 1839, which would extend film tax credits in hopes of keeping production jobs in California. (Thinkstock)

The potential loss of middle-class jobs was the rhetoric used and the vote on the dais was more symbolic than substantive, but after a one week delay the Los Angeles City Council unanimously supported on April 8 a State legislative bill that would extend tax credits to the film and television industry.

Assemblyman Mike Gatto introduced in Assembly Bill 1839 (AB 1839) in Sacramento, which proposes to extend financial incentives to film and television productions who promise to keep those projects in California.

“This is a critical piece of legislation for Los Angeles and California,” Councilman Paul Koretz said, adding the current film tax credits on the books “has saved tens of thousands of jobs in California or brought them to us.

Koretz was one of the council members who motioned his colleagues to support AB 1839.

The councilman from the fifth district did point out the current legislation has flaws. Musicians, for example, are not part of the legislation, so film scoring could still take place overseas. Koretz said he would like to see more done but acknowledged the proposal currently in place in Sacramento is about as expansive as any would be in this current legislative cycle.

Speaking to those flaws, Councilman Bernard Parks warned of potential unintended consequences attached to the film tax credits proposal. For example, most post production work not covered by the legislation. Accordingly, while the tax incentives might keep film shoots in the State, post-production jobs might still be lost.

Generally speaking, post-production is a longer process and has more jobs attached, such as editing, film scoring, marketing and promoting, sound, and other technical aspects.

Parks added other unintended consequences include the possibility of the incentives being sold to groups other than those the film tax credits are intended to protect.

“A great program is being somewhat deterred and not reaching its full benefits,” Park said prior to voting in favor of supporting AB 1839.

Despite the unintended consequences, Councilman Tom LaBonge said the threat of losing significant jobs is real. By way of example, LaBonge stated 161 people were “displaced” after Jay Leno retired from the Tonight Show and the late night television program relocated to New York City.

One of the motion’s co-sponsors, Councilman Felipe Fuentes, said the United Kingdom and Australia are offering hundreds of millions of dollars in tax rebates to draw film production to their respective countries. Accordingly, Fuentes said California must be proactive in keeping film production in State.

“This benefits California, not just Los Angeles,” Fuentes told his colleagues of the film tax credit bill.

film tax credits
Silhouette of a TV cameraman. (Thinkstock)

Meanwhile, Councilman Gil Cedillo said although tax policy does not necessarily lead to direct job growth, AB 1839 would be significant in retaining film and television production in California.

The California Film Tax Credit Program was adopted in 2009 and aimed to create $500 million in credits within a five-year window. AB 1839 seeks to extend those tax credits through 2022.

As part of the extension, the amount of film tax credits available to film and television productions would be expanded. Just the same, the number of productions eligible for tax credits and incentives would also be expanded.

Other amendments proposed in AB 1839 would allow for more types of productions to take advantage of tax incentives if they remain in California.

The April 8 vote was 13 to 0 in favor of supporting AB 1839.

(This is Part 2 of a series. Next week, Part 3 will analyze the specific tax breaks offered in AB 1839.)

Related Posts

(Video) See How Home Front Build Designs and Creates Personalized Homes

January 3, 2025

January 3, 2025

For More Info, Go To homefrontbuild.com or Call 323-732-4663 For More Info, Go To https://t.co/sQEaDT0XbG or Call 323-732-4663 pic.twitter.com/OEUe1aOdQS —...

Farm Hall: The US Premiere of a Tense Historical Drama

January 2, 2025

January 2, 2025

Coming January 2025 at the Promenade Playhouse The development of the atomic bomb by J. Robert Oppenheimer and his team...

Golden Globes Road Closures Announced: Plan Your Route in Beverly Hills

January 2, 2025

January 2, 2025

Major Street Closures and Traffic Restrictions in Place This Weekend The 82nd annual Golden Globe Awards are set to take...

California Starts Enforcement of New “Daylighting” Law to Protect Pedestrians

January 2, 2025

January 2, 2025

New Bill Restricts Parking Near Crosswalks, With Fines Starting March 2025. The state of California and local entities have begun...

Beverly Hills Doctor Arraigned on Multiple Counts of Sexual Assault in Los Angeles

January 2, 2025

January 2, 2025

Dr. Babak Hajhosseini Faces up to 34 Years in Prison, Now Free on Bond Babak Hajhosseini, a Beverly Hills physician,...

Join the Conversation: L.A. County D.A.’s Office Opens Advisory Board Application

January 2, 2025

January 2, 2025

Residents Invited To Help Shape Policies on Key Community Issues The Los Angeles County District Attorney’s Office is seeking community...

Brentwood Beat: Maria’s Italian Kitchen to Move from Brentwood After 52 Years

January 1, 2025

January 1, 2025

I’m ill.   Maria’s Italian Kitchen is leaving Brentwood Village and will be gone by the end of 2024. Like many...

Toca Madera to Celebrate 10 Years with New Melrose Avenue Flagship

January 1, 2025

January 1, 2025

New West Hollywood Location Promises Bold Design, Elevated Cuisine Toca Madera, the Mexico City-inspired steakhouse that debuted in West Hollywood...

Rustic Kitchen in Mar Vista to Close After a Decade of Service This Month

January 1, 2025

January 1, 2025

Restaurant Announces Closure as 10-Year Lease Comes to an End. Rustic Kitchen, a Mar Vista Restaurant and Wine Bar which...

Chef Nobu Debuts Luxurious Gold Standard Roll for Golden Globes® Celebration

January 1, 2025

January 1, 2025

Indulge in a Limited-Time King Crab Roll Adorned With Gold Flakes and Caviar In honor of Chef Nobu Matsuhisa’s return...

Memoria Offers a Thought-Provoking New Year’s Eve Option in Beverly Hills

December 30, 2024

December 30, 2024

Join a Special Screening of Tilda Swinton’s Acclaimed Film at the Music Hall For those seeking a unique way to...

CHP and LAPD Launch Holiday Crackdown on Dangerous Driving for New Year’s

December 30, 2024

December 30, 2024

Maximum Enforcement and Increased Patrols Will Be in Force for New Years  The California Highway Patrol (CHP) will implement a...

Doctor Charged with Sexual Assault of Unconscious Woman After Pressuring Her to Drink

December 30, 2024

December 30, 2024

LAPD Seeks Additional Victims in Disturbing Sexual Assault Case in Beverly Hills  Detectives with the Los Angeles Police Department’s Operations...

FAA to Investigate Runway Incident at LAX Involving Charter Flight and Delta Airplane

December 30, 2024

December 30, 2024

Plane Stopped Short of Active Runway After Air Traffic Controller Intervention Federal Aviation Administration (FAA) officials are investigating a runway...

(Video) At Vistamar School – Discover the way high school should be

December 29, 2024

December 29, 2024

Students achieve remarkable outcomes with our strong academics, small classes, andpersonalized approach. Our graduates don’t just attend college—they excel. Vistamar’sunique...