Gavin Newsom Proposes $1 Billion Tax Credit Program For California's TV and Film Industry
Governor Newsom My $1 Billion Idea To Revive Hollywood
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Gavin Newsom is trying to get Hollywood back on track, proposing a sweeping $1 billion film and TV tax credit program in California.
The governor just announced the "historic" plan, which expands the industry's tax credit program from $750 million to at least $1 billion -- and maybe more.
The proposal also includes credits for above-the-line talent, such as producers, directors, and cast members, as well as $100 million earmarked for independent projects and benefits for businesses that promise to produce more than one production in California.
And get this ... Newsom is even proposing an extension of the tax credit through 2040.
This is huge news for Hollywood ... many of our film and TV productions have gone overseas due to skyrocketing domestic costs and cheaper foreign tax incentives.
In April, California Senator Adam Schiff said the industry had lost a whopping 42,000 jobs, noting that 45 percent of all American films and TV shows were shot in other countries in 2025, compared with 33 percent in 2022.
Back to Newsom, who is now renewing his calls for Congress to pass the Motion Picture, Television, and Entertainment Revitalization Act by year's end.
The legislation would require 75 percent of principal photography days to be filmed inside the U.S., excluding news, live sports, and social media content.
It would also establish a federal business tax credit starting at a base of 20% on domestic labor and production compensation for feature films, television pilots, and TV seasons exceeding $1 million in total costs.
