The tax credit program was created to incentivize film and television productions to remain in California. The new proposal requires that these productions set diversity goals and develop plans to achieve them.
According to a report, productions that receive tax credits under this program will be required to set diversity goals for ethnicity, race, and gender and will be eligible for an additional 4 percent tax credit if they meet or make a good-faith effort to achieve their goals. California's tax credit program, which currently allocates $330 million per year to film production, is set to expire in 2025, the state legislature has advanced a bill, SB 485, that would continue the program until 2030.
March 07, 2023
As reported by Indiewire, SB 485 sought to maintain the program's current funding levels and was under consideration in August 2022. However, new provisions were added that require tax credits to be given only to productions that are "broadly reflective" of California's ethnic and racial demographics. "The message is: increase diversity," reports Deadline. As a result, the bill was postponed until 2023.
WATCH: ASTRAZENECA SUED OVER VACCINE WOES
Under the proposed bill, tax credits cannot be certified until the commission receives the applicant's final diversity report. An applicant's credit percentage may be increased "if the commission determines that the applicant has met or made a good faith effort to meet the diversity goals in its diversity workplan." Newsom's budget proposal would apply to the program until at least the 2025 expiration date.
According to Bounding into Comics, "woke diversity quotas are not going anywhere in Hollywood." With this new proposal, California is making it clear that it expects Hollywood productions to prioritize diversity in their workplace.
Discover alternative ideas that will make you think
Engage in mind bending debate
Earn points, rise in rank, have fun
