UPDATE: Variety has more details on ways the tax-incentive program might possibly be restructured, based on Marissa Lago’s speech before the Association for a Better New York Thursday morning.
Lago pitched a stripped-down version of the program, including the following provisions:
The program…would be reduced from a 30% below-the-line tax break to a 20% break, and it would cap refunds at $100 million a year, Lago suggested. The revised version would also be evenly distributed between TV, feature, and indie film productions…Lago also suggested a 5% bonus for productions shooting outside of Gotham, balancing out Mayor Michael Bloomberg‘s 5% bonus for shooting within the city limits — an idea that owners of studio facilities found attractive, because Gotham became saturated with productions as soon as the credit was expanded last April.
EARLIER: New York governor David Paterson indicated Thursday that he would propose new state funding to continue New York’s successful tax-credit program for films and TV shows produced in state, the New York Post reports.
Marissa Lago, president of the Empire State Development Corp., also said that she’s been meeting with industry leaders to figure out a better way to structure the credits, which makes sense considering that the popularity of the incentives caused the state to burn through $460 million, originally intended to last through 2013, in 10 months.
We hope Paterson will refund the tax-incentive program and preserve New York’s film and TV production business. Meanwhile, there are currently more than 13,000 signatures on the “Save New York State’s TV and Film Tax Credits” petition.
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