America's subsidies for filmmaking

America’s subsidies for filmmaking

Posted on September 11, 2009 in Financing | No Comments

This article (“The money shot”) from The Economist explains why government handouts to Hollywood are growing.

…All but seven of America’s 50 states now offer incentives to lure filmmakers. Some states refund a portion of in-state production costs, which may include actors’ salaries. Others issue rebates against state taxes that can be sold to local residents. The club is growing quickly. California, which resisted subsidies for years, recently approved its first clutch of recipients. Kentucky is considering its first application. With banks and hedge funds virtually out of the game, state governments are now the most important external source of funding in the film business.

— The Economist | Read The Full Article