Gavin Newsom Signs Bill Creating $10 Million Post-Production Tax Credit
Gov. Gavin Newsom has signed a measure to create a $10 million tax credit meant to stem the tide of post-production jobs to other states and overseas. The bill, AB 2319, passed the state Assembly and Senate last month by wide margins. Supporters, including the Motion Picture Editors Guild, had pushed for a credit that […]
California Governor Gavin Newsom has signed a bill creating a $10 million post-production tax credit. The bill, AB 2319, aims to keep post-production jobs in the state by offering a tax credit for qualifying expenses related to editing, sound, music, visual effects, and other post-production processes. According to Variety, the bill passed the state Assembly and Senate by wide margins last month.
The tax credit provides 35% to 50% of qualifying expenses, and productions do not need to shoot in California to qualify. TheWrap reports that the previous parameters for California's film and television tax credits required 75% of filming or overall spending to occur in the state for post-production work to be eligible. This new bill relaxes those rules.
The new law also expands California's film and television tax credit program, with another bill, Bill 186, set to take effect in 2027. According to The Hollywood Reporter, this law exempts independent projects from caps on the use of state tax credits and offers enhanced monetization of incentives. The $10 million allocated for the post-production tax credit is seen as a starting point, with TheWrap reporting that the bill's author, Assemblymember Nick Schultz, plans to seek increased funding in next year's budget.
Brief written by urgent.news from Variety, TheWrap, The Hollywood Reporter — 3 reports on this story. Machine-written — may contain errors; check the original before relying on it.
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