Congress is moving fast to get a US federal production incentive on the books as bipartisan lawmakers on Thursday introduced a bill for a 20% transferable tax credit for wages that will apply to above-the-line actors and directors as well as below-the-line workers.
Uplifts provide 5% bonuses for independent shoots and rural productions. Shoots in Los Angeles County, which has felt the sharp end of exoduses to productions in other jurisdictions, would also quality for a 5% uplift over the next five years because the region is classified as a disaster area following the 2025 wildfires.
If approved, the Motion Picture, Television, and Entertainment Revitalization Act would apply to film and television productions budgeted over $1m, with 75% of the shoot taking place within the US.
The incentive will be stackable and operate in addition to existing state incentives. Senators Tim Scott (R) of South Carolina, Adam Schiff (D) of California, and Reverend Raphael Warnock (D) of Georgia are the sponsors. Backing a complimentary bill in the House of Representatives are Nathanial Moran (R) of Texas and Linda Sanchez (D) of California. Representatives Laura Friedman (D) of California and Brian Jack (R) of Georgia are supporting the legislation.
Despite years of efforts to enact a federal incentive, the cause has gained momentum after public statements of support from Donald Trump.
Motion Picture Association CEO Charles Rivkin welcomed the development on Thurtday. “The Motion Picture, Television, and Entertainment Revitalization Act would deliver a true gamechanger for American creators, workers, and businesses – a federal incentive that supercharges production at home, fuels jobs and growth in local communities, and makes the United States a more competitive destination for the next generation of great film and television,” Rivkin said.
Rivkin added that the legislation “could inject $250bn into the country’s economy and deliver nearly 145,000 new jobs every year across all 50 states. That’s a story we can write together by enacting this bill, to ensure that more stories are crafted, created, and made here in America.”
California Governor Gavin Newsom, who called on Congress to create a federal incentive in May, said: “California is the entertainment capital of the world,” Newsom said. “We have the talent, infrastructure, and the creativity to support it — and we are making historic investments to keep production here. But this is bigger than our state alone. I support this bipartisan effort to ensure that this industry can compete globally to protect the jobs, businesses and communities that depend on it.”
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