Repeat: Lower taxes is not a cost.
There is no reason to believe the taxes would be paid if the incentives were not in place.
A cut in taxes is not a cost to taxpayers.
* * * *
Yes, but it’s not really a “cut” in taxes. That’s the deep deceit in the way this incentives program is presented.
The law creates an opportunity for massive spending that is way beyond the total wages of all film/video employees living in Georgia - with another $800 million on top for expenses.
The program is fully funded by money from the Georgia treasury. And when those receipts are submitted and the credits are issued, the Hollywood firm simply sells the credit for 80 to 90 cents on the dollar to someone who has property in Georgia.
So it turns out to be a way to reward both Hollywood and all the Georgia insiders in on the scheme.
Why can’t the tax credits be sold back to the treasury so ALL Georgia taxpayers collectively get a tax break, instead of an anonymous group?
qaz123’s follow-on comment explains this with an example:
https://freerepublic.com/focus/bloggers/4057713/posts?page=37#37