New York weighs bigger tax credits for film, TV productions
New York taxpayers have long helped fund major TV and film productions. Now, Gov. Kathy Hochul wants to boost that support even more. Since 2017, households across the state have contributed to entertainment subsidies, and Hochul is proposing a sizable increase in the film tax credit program.
Household tax shares
According to Empire State Development and The New York Times, several well-known TV shows rank among the top recipients. “Blue Bloods” has cost households about $20.90 each, “Saturday Night Live” about $14.50, and “The Tonight Show Starring Jimmy Fallon” around $10.60 per household.
A tax credit program offers qualified companies reimbursement up to 30 cents for every dollar spent on eligible production costs.
Billion-dollar incentives
Since 2017, New York has spent more than $5.5 billion on these incentives, according to The Times. Hochul’s new proposal seeks to add $100 million specifically for independent productions, which would raise the annual benefit for these productions to $800 million.
Bloomberg reports that both chambers of the state legislature, controlled by Democratic majorities, have also backed a two-year extension of the existing $700 million program, keeping it in place through 2036.
Industry support and jobs
“We’re really encouraged that the legislature agrees with Gov. Hochul’s desire to grow the film industry statewide,” said Josh Levin, vice president of state government affairs for the Motion Picture Association, in a statement to Bloomberg. “All New York stakeholders are looking for ways to respond to national and global competitive pressures, and we believe the final budget language will best position filming in the state to flourish.”
The program is designed to strengthen New York’s reputation as a media hub and create local jobs for crew members and businesses related to production.
Comparing other states’ entertainment taxes
While California has the nation’s largest production workforce, New York ranks second, according to a study by California’s nonpartisan Legislative Analyst’s Office.
California offers similar incentives through its Film and Television Tax Credit Program, which provides up to 25% in credits for qualified productions. Illinois also offers a 30% transferable tax credit for qualified productions, including post-production. Georgia’s program is one of the nation’s most expansive, offering not only a 20% credit but another 10% boost if the production includes an embedded state logo in credits and no limits on certain costs that other states cap.
On the revenue end, some locales raise revenue from media consumption. For example, Chicago’s 2025 budget extends a 9% amusement tax not just to live events but also to streaming services like Netflix, Hulu, Apple Music, and Spotify. That tax has generated city revenue since 2015.
New York’s Republican lawmakers have raised concerns about Hochul’s latest proposal, especially as the state looks to make cuts to other major programs. The debate highlights broader questions about how tax dollars are allocated and whether entertainment subsidies deliver a worthwhile return for residents.
Ella Rae Greene, Editor In Chief
