New tax credit to boost California film production

There is some optimism that the decline in film and television production in California may be reversed.

Gov. Gavin Newsom announced new efforts to lure productions back to the Golden State on Monday, elaborating that California has selected 48 projects to receive tax credits as long as they’re filmed within the state.

“California didn’t earn its role as the heart of the entertainment world by accident — it was built over generations by skilled workers and creative talent pushing boundaries,” Newsom explained. “Today’s awards help ensure this legacy continues, keeping cameras rolling here at home, supporting thousands of crew members behind the scenes and boosting local economies that depend on a strong film and television industry.”

The projects are expected to generate $664 million in total spending up and down the state and are expected to create jobs for 6,515 cast and crew members. About 32,000 background performers, measured in days worked, will stretch across 1,346 filming days in California.

A total of 43 of the 48 projects are independent features, and more than half of them will be shooting in Los Angeles. The others will be filmed in Ventura County, San Francisco and the Bay Area, El Dorado and Placer Counties, San Bernardino and Riverside Counties, Bakersfield in Kern County, Half Moon Bay and Costa Mesa.

With that being said, five major studio features have qualified for the program. This includes Sony Pictures’ “One of Them Days Sequel,” which is produced by L.A. native Issa Rae. That movie alone is looking at $39 million in production costs, and they’ll get close to $8 million back in tax credits.

“Los Angeles was an essential backdrop to ‘One of Them Days’ and we are thrilled that Dreux and Alyssa will embark on another authentic escapade through the city’s streets in the sequel through the support of California’s Film and Television Tax Credit,” said President of TriStar Pictures Nicole Brown.

This is the ninth round of tax credits this fiscal year as California fights to keep film production from moving out of state or overseas.

“This industry is core to California’s creative economy and keeping production here at home is more important than ever,” said Director of the California Film Commission Colleen Bell. “This round of tax credits shows our commitment to supporting both indie and studio productions while spreading the economic benefits of filming across the state.”

From 2020 to 2024, California lost an estimated $1.6 billion due to runaway production.

Gov. Newsom says limited tax credits were the problem back then, so now he’s pushing to bump the program’s funding up to $750 million. The next round of applications opens up in July for TV and August for films.