Posted on 03/07/2014 8:14:48 AM PST by Mad Dawgg
When Paul Audley took the job as president of FilmL.A. in late 2008, he was astounded to discover that physical production on the $70 million pic “Battle: Los Angeles” wasn’t being done in Los Angeles.
“It stunned me that the movie was shooting in Louisiana, and that the state of California was letting this happen,” he recalls.
In the subsequent five years, the situation has only worsened, despite the film production incentive program California enacted in 2009, which provides for $100 million a year in tax credits for what’s usually 20% of production costs. That’s significantly smaller than programs offered by other states such as New York, which offers $420 million a year in credits for 30% of production costs.
The trend has been mounting for high-profile films set in the Golden State to be filmed almost entirely outside California, due to lucrative tax breaks elsewhere that producers can’t turn down. One key component of new legislation to strengthen California’s incentive program, introduced Feb. 19, would raise to $100 million the current budget cap of $75 million on eligible productions. To drive home the need for state support, attendees at a Feb. 22 rally in Burbank held by Hollywood unionists were handed petitions to send to Sacramento citing that only one of 41 big-budget feature films shot in 2012 and 2013 was shot entirely in California.
(Excerpt) Read more at variety.com ...
The problem is, that no matter where there money ends up coming from (us)it drives industry away from areas with a corporate tax burden to areas with less corporate tax burden.
When they have to pass the cost on to the consumer and the price for a product goes up, people begin to be more discriminating in their choices. They choose to either buy over a border (where that is possible) and where it it not possible, they preferentially buy similar products from another country.
Government, bureaucracy and,yes, “corporate taxes” drive jobs to “other” states and other countries where they can be more cheaply produced.
Add in union costs, local,state and federal bureucratic loading on everything from environmental policies and packaging of products to the types of lightbulbs and toilets that must be used in the facilities, and is it any surprise that industry has been fleeing to other countries?
Until we directly attack those issues, our industrial base will continue to shrink, while that of our foes expands.
The problem is this is the equivalent of a tumor that metastasizes.
That’s right—it’s more about moving to non-union states. Wilmington, NC and Pittsburgh were huge film locales in the mid-90’s due to them being non-untion for movies. Louisiana seems ideal—think of the low cost of business there.
CO*R*PORATE
Her Ho-Ho the Clown red hair has me so struck I never noticed her accent.
That show still on? Haven't seen it in a while.
To an extent. But it's not always easy for smaller companies to raise their prices enough to cover the cost of increased taxes and regulations - often they just have to eat the difference by hiring fewer employees, delaying expansion plans, or simply ending up with less net income.
What is disturbing in recent decades is the extent to which liberals, when confronted facts like these about the effects of their policies, express the same outright anger and hostility toward small business owners that they used to aim primarily at giant corporations. The belief that "All business owners are crooks!" used to be uncommon in America, but public education has apparently made it the new normal.
It’s about time they clean out the cesspool LA may get back to normal.
Not really. The offsets are revenues that would not otherwise be realized.
“Hollywood movie tycoon types (mainly from somewhere else)”
Right on the mark! There are no “native” Hollywood moguls anymore. They all come from New York now that they’ve completely fouled their nests there.
Every studio should be sent a 55 gallon drum of irony smothered in heavy malaga syrup.
Just read an article that said Louisiana is now the number-one movie-making state in the U.S.
“Louisiana seems ideal—think of the low cost of business there.”
Louisiana is currently the number-one movie-making state in the U.S.
Do they receive taxpayer money, or just a reprieve from the punishment of taxes?
There is a difference.
Hey, vette, have you checked out the corvette joyride thread?
Really? We used to think that too here in the once sane state
of California.
“Hey, vette, have you checked out the corvette joyride thread?”
No, but I will.
Have you seen this?
http://www.youtube.com/watch?v=B-gzNi6MRwI&feature=player_detailpage
Not true! Come to Charlottesville, VA!
Not surprised. I see Virgina going purple or marron.
Haven't seen the show in a while.
I was married to a redhead. It's Montgomery's tattoos that I find off-putting.
Kind of like smokers moving to the non-smoking section to smoke because the smoking area is too nasty from all the smoke.
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