Proposed Cap on Film Incentives

The Associated Press | March 25, 2009

LANSING, Mich. (AP) — Some state senators want to cap the tax
incentives Michigan offers to moviemakers.

Legislation introduced Wednesday would reduce Michigan’s
refundable movie tax credit from 42 percent to 35 percent, limit
the amount of credits to $50 million a year and increase another
credit.

Some Republicans proposed similar measures last year but didn’t
get far. A Democratic senator is concerned the state can’t afford
the incentives while facing budget problems.

The Senate’s GOP majority leader says he isn’t interested in
limiting tax credits if they’re stimulating the economy.

Gov. Jennifer Granholm and others also say the tax breaks are
working very well.

Filming expenditures went from $2 million to more than $100
million a year after the law was signed.

http://blogs.woodtv.com/2009/03/25/proposed-cap-on-film-incentives/