Porn Filmmakers Could Benefit From L.A. Tax Credit

LOS ANGELES — Porn producers could benefit from a new incentive offered by the City Council that would reduce city taxes on small productions.

The move comes as an effort to keep existing production companies in Los Angeles and to attract smaller filmmakers.

The council increased the Entertainment Adjustment Cap from $2.5 million to $5 million, opening an opportunity for nearly all adult films that have significantly smaller budgets than the cap allows.

Under the new incentive, a producer would be required to pay a flat tax of only $145 for a film that costs less than $5 million. If it exceeded that amount the tax would be $1.30 per $1,000 capped at $9,245 rather than paying on a sliding scale that could reach up to $12,495 under the old tax.

Councilman Richard Alarcón, who authored the proposal, said the incentive could bring in as many as 535 new production companies.

"The fact is a lot of other states are dropping their incentives because they don't have the labor pool that Los Angeles has," Alarcón said. "If we do nothing, these other jurisdictions will be able to compete to get our business."

Mayor Antonio Villaraigosa is expected to sign the measure that would take effect in 30 days. Maya Zutler, legislative affairs manager for the Valley Industry and Commerce Association, told the Los Angeles Daily News that the tax break "is vital to help the entertainment industry. It will provide a significant break for small-and-medium-sized firms."

Related:  

Copyright © 2024 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

TeamSkeet Releases 1st Installment of 'Ripe for the Taking'

TeamSkeet has released the first installment of its latest feature, "Ripe for the Taking," starring TeamSkeet March AllStar Scarlett Alexis.

Pineapple Support Appoints Kasey Kei as Brand Ambassador

Pineapple Support has appointed veteran performer and content creator Kasey Kei as its latest brand ambassador.

Eva Maxim, Katrina Colt Headline 'Cumming to LA' From Cherry Kiss

Eva Maxim and Katrina Colt star with Vince Karter in 2021 XBIZ Europas Female Performer of the Year Cherry Kiss' "Cumming to L.A.," from Evil Angel.

Skylar Snow Headlines 'Infidelity 4' From Sweet Sinner

Skylar Snow toplines "Infidelity 4," the latest release from Mile High Media studio brand Sweet Sinner.

Serenity Cox Stars in 'Enjoy It' From MILFY

Serenity Cox stars with Alberto Blanco in "Enjoy It," from Vixen Media Group studio imprint MILFY.

Melissa Stratton Stars in Finale of Wicked's 'So Extra'

Melissa Stratton and Robby Apples star in the final scene from Wicked Pictures' "So Extra."

BiPhoria Drops Jim Powers' 'Saying GoodBi'

BiPhoria has released director Jim Powers' "Saying GoodBi."

Jade Venus, Kasey Kei Star in 'Trans Rave' From GenderX

Jade Venus and Kasey Kei star in "Trans Rave" from GenderX, directed by Jim Powers.

TeamSkeet Debuts New Series 'Brat Tamer'

TeamSkeet has released the first episode of its new series, "Brat Tamer," titled "Three Cheers for Madi," starring Madi Collins.

Bella Rolland Stars in New Gangbang From Blacked Raw

Bella Rolland stars with Jax Slayher, Chocolate Rod and Rocket Powers in a new gangbang from Vixen Media Group (VMG) studio imprint Blacked Raw.

Show More