The governor’s office announced Nov. 2 that Gov. is proposing to expand California’s Film and Television Tax Credit Program from $750 million to at least $1 billion annually and to extend the program through 2040.
The office said the proposal would add credits for above‑the‑line compensation, set aside $100 million annually for independent productions, provide a 5% bonus for companies that commit to two qualifying productions in California, and increase predictability by lengthening the program sunset to 10 years.
The release said the first year after last year’s expansion produced strong results: applications rose 82% year over year; direct production spending reached $8.25 billion to date, including $5.3 billion in qualified expenditures and $3.2 billion in qualified wages; and the program supported more than 43,000 cast and crew jobs.
The governor’s office framed the proposal as a way to keep more productions and jobs in California; Gov. Newsom said, “California created the modern entertainment industry; we’re the capital of entertainment and we’re going to keep it here.”
The announcement also renewed the governor’s call for Congress to pass the Motion Picture, Television, and Entertainment Revitalization Act and for a separate federal 20% credit that could stack with state programs, the release said.
The office said the expansion is intended to create more stable, long-term work across the industry and strengthen the state's creative economy. It also pointed to recently signed legislation that creates a tax credit for post-production work and exempts some independent productions' credits from a temporary credit limitation starting in 2027.
State
Gavin Newsom
Governor · Democrat
Named 3 times in this story.
Portrait: Official portrait
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