California Tax Breaks — What’s Wrong With This Picture?
Amid continued squabbling over whether to boost the California film and television production tax incentive program, the state legislature just handed aerospace giant Lockheed Martin Corp. a whopping $420-million tax break.
Yes, you read that right: A bill creating a 15-year sweetheart deal — for a single private company — sails through the Assembly and Senate without a hitch, yet the fate of Assembly Bill 1839, which would enhance California’s existing entertainment tax credit program and generate millions in additional revenue, continues to face opposition in Sacramento.
What’s wrong with this picture?
It should be a no-brainer that, in order to remain competitive in the global market for film and television production and post-production work, California needs to boost its incentive program. Once the epicenter for entertainment production, California no longer assumes this leadership position.