To amend the Internal Revenue Code of 1986 to extend the deduction for film and television productions and to make certain changes with respect to the calculation of such deduction.

Key Points

• This bill would extend a federal tax break for making movies, TV shows, and live theater performances. Instead of ending in 2025, the program would continue for five more years until the end of 2030.
• The bill doubles the amount of money production companies can deduct from their taxes. The current limit of $15 million would jump to $30 million for most projects.
• Projects filmed in specific areas, like low-income or rural communities, would get an even bigger boost. The tax deduction for these locations would increase from $20 million to $40 million.
• Starting in 2026, the deduction limits would automatically go up each year to keep up with inflation. This ensures the tax break stays valuable as the cost of making movies increases.
• The goal of this policy is to encourage entertainment companies to keep their productions and jobs within the United States rather than moving them to other countries.

Impact Analysis

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