Many people are beginning to wrap their minds around the House Republicans’ proposed destination-based cash-flow tax and what it means for tax reform. Most people are still looking into the tax’s impacts on trade and how...
- The Tax Policy Blog
- John Stossel Cites Tax Foundation Study of Film Tax Credits
John Stossel Cites Tax Foundation Study of Film Tax Credits
Transferring taxpayer dollars to filmmakers is not rational economic strategy. Such projects rarely encourage job creation. The Tax Foundation points out that investing in movie production projects mostly attracts
"temporary jobs that are often transplanted from other states..."
Still, states make dramatic job creation claims about film subsidies. The Tax Foundation reviews a 2009 report by the Pennsylvania Legislative Budget and Finance Committee and finds that
"Pennsylvania's film tax credit produces net benefits of $4.5 million by assuming that any business interacting with the film industry would not exist but for the credit."
That, of course, is nonsense. Still, state bureaucrats are eager to give away your money.
Two recent posts on film tax credits from our Tax Policy Blog:
Get Email Updates from the Tax Foundation
Join the Tax Foundation's fight for sound tax policy Go
About the Tax Policy Blog
The Tax Policy Blog is the official blog of the Tax Foundation, a non-partisan, non-profit research organization that has monitored tax policy at the federal, state and local levels since 1937. Our economists welcome your feedback. If you would like to send an e-mail to the author of a blog post, please click on that person's name to locate his or her e-mail address or visit our staff page here.