Should North Carolina extend the tax incentives for film projects set to expire at the end of 2014?
Should North Carolina extend the tax incentives for film projects set to expire at the end of 2014?

If the taxpayers are going to help fund this business. Then let the people who work there fall under the same hiring guide lines as state employees have to. That is right background checks and drug screening. Oh whoops that may not work.

And why can't NC Tax payers see the movies for free or at lease at a discount?

The comments that are negative toward film incentives show that most if not all, do not realize that you do not see where all the tax dollars are going to with all types of business and individuals that pay state taxes. Why focus on just film subsides, why not look at other incentives or perks that are given to other business;s and corporations and see what the return is on those. Because the politicians do not want them to be discovered, because there are others that want the incentives. The teachers and police will not get it. Otherwise the state would have already spent or found a way to spend that money. Its not because incentives were the issues 10, 15 or 20 years ago. How much money out of the millions that have poured into the state from film and television gone. Where are those tax dollars spent. Its going to the schools, the roads, and whatever the state needs it for I believe. This argument over tax incentives is ridiculous and unwarranted.

To focus on just one entity is ignorant.

I feel that the comments are based on those that do not understand the amount of work and effort that it takes to make a film. It gave over 14 thousand people jobs. And currently employs those people. And it only seems to be growing.

Compare that to another type of company or entity. Just for an example, say its Amazon.com calling center, they employ 300 people and maybe a few more when it comes to rush time. Then they lay those people off. They are back to a skeleton crew. Lets look at Walmart, they might have a few hundred working, then they hire for holidays and lay them off afterwards.

Entertainment is misunderstood. And the education on how films and television shows are created and the jobs they create, is missed when we have politicians that think they know what they are talking about. Simply, because they have someone telling them what to say or think. Not because they know how its done and how many people it will employ. These incentives stop the work from going to other countries and other states. We are fighting with India, China, and Canada to keep these jobs here.

Would you rather pay your tax dollars and see those 14k people on welfare or pushed to low paying jobs at Walmart. Now who is subsidizing who.

North Carolina spent roughly $69 million in film subsidies in 2012, with returns of $278 million spent in goods, services and workers. In addition, 14,100 part-time jobs were created. North Carolina's return on investment was 4 times what expenditures were. I'd say that's a pretty fair return. But what is much more important in the overall picture, is the horrible loss of "the arts" if NC does not extend the film incentives scheduled to end Jan. 1, 2015. The film industry brings a wonderful artistic flair to the NC area, from Wilmington to Asheville and in between. Our legislature must act quickly on this issue, as major production companies are starting to look elsewhere. Louisiana subsidizes up to 30% of production costs, and Michigan up to 42% with no plans to end in sight. Steve Elliott

OK let me make this simple for you. $69M is coming out of the treasury - it is taxes collected through payroll, sales etc.
With me so far?
$278M was the BUSINESS generated, meaning PRE tax. NC collects 7% average between payroll and sales tax so 7$ of $278M = $19.4 Million

so they pay out $69M which results in $278m IN business which then pays the state back $19.4M
So the state loses $69M - $19M or $50M

Its kinda like saying (if every dime was spent at Home Depot) Home depot made a profit of $278M
No they didn't Home depot had to pay suppliers etcc. Their profit margin might be 14% so they made $38.9M. Now what did those part tie workers do between jobs? Yeah - they collected unemployment this FURTHER hampers the film industry from claiming "profits" for the state because they don't back out the costs of unemployment.
I am against all incentives but I am particularly against those that pay part time wages.
Permanent jobs have employees that pay payroll taxes for years - they buy homes they shop year round.
These movie jobs are part time, and pay very little. The film then gets distributed where they make millions of dollars in profits from distribution. So why doesn't NC tax those distribution dollars? The movie was made here? Why not? Why should CA get those corporate taxes.
Finally remember what movie math means. Johnny Griffin tried to explain to the media that 30 extras for 50 days = 1500 job opportunities when in fact those 30 extras were used for 50 days resulting in 30 people having part time employment. What did these folks do he rest of the year? They collected.
Sorry - movie incentives are a losing proposition - they are a race to the bottom.
LET Georgia and Louisiana have them.
They are not worth the money

Vog

The fact that people are talking film incentives & teachers in the same sentence shows that the politicians are once again using their smoke & mirrors. Every time these crooks want to push an agenda they always play on educational needs to garner support. They are lying to us all. Remember the EDUCATION lottery?

The film biz is hip and that allows nerdy politicians to feel hip themselves. Flat tax for all. Let's all pay the same low rate the Obamas do.

No incentives. Just lower the overall taxes. There should never have been tax incentives.

That won't help a bit with films. Companies that make films are not incorporated in NC.

So,as a taxpayer, I should subsidize movie productions. Some of these people are making 40, 50 dollars an hour, and I'm here to pick up the tab? Is it good for the economy? Maybe, but you must prove it. Prove that my taxpayer money is getting a return on the investment.

Tax credits should not be given to any industry for doing business in NC, especially the film industry. Jobs may be created but they are temporary--until the picture or episode is complete. I do not know anyone who lives in Brunswick County and works full-time for the film industry.

With regard to other industries, as towns/cities grow they need more services such as police, fire, schools, etc. Show me the data on the companies we so graciously give tax credits to that proves they are not costing the existing town-city when you consider the tax credits and additional services needed.

No tax incentives anywhere! The incentives only work because someone else wont' give them one! Every industry that whores out their products, services, land, etc., cuts into EVERYONES pockets.

If giving incentives are so great, just lower the minimum wage, then fast food and everything else will be cheaper because they won't have to pay higher wages.

I hate taxes as much as the next guy, but giving incentives, deductions, credits, all that crap has created one of the worst, corrupt and most damaging entities in our county!

You know, they use to tar and feather the tax man, which was akin to killing them. Now we just tell them to go get more from our neighbor.

If North Carolina were to abolish the corporate tax altogether, we probably wouldn't need the film incentives. But until that happens, the incentives are good for Wilmington and local businesses. But a lot of North Carolinians outside of Wilmington oppose the incentives because they don't get the benefit of them. So they are at risk. However, I feel as long as we have Thom Goolsby in the Senate, the incentives will be extended. He is known as a strong friend of the taxpayers and highly respected in Raleigh among economic conservatives--even those who oppose the incentives in general. I don't see the legislature going against Thom on this in the final analysis. Thom is our insurance policy on the film incentives.

GAG!

We give them a tax break and what taxes did they pay NC on the $195.3m?

Where last summer’s The Avengers broke not only the domestic opening weekend record, but in a dozen international markets, Iron Man 3 is already beating it out with $195.3M at the international box office.

http://www.forbes.com/sites/abrambrown/2013/05/06/disney-pushes-to-new-h...

Not only does it affect the below the line people who work in the industry.This will have a trickle affect to local business's that cater to the film industry,Home Depot,Wal-Mart local Mom and Pop stores,restaurants,hotels etc. etc.
Think about it!!!! We need to band together and keep the incentives.

These incentives benefit a very select group, and mainly support the movie industry. The money could be put to better use in the state, such as supporting education and job growth. Hollywood East is a fantasy.

..there'll be NO money "put to better use in the state". It's a REBATE. If you don't shop in a store, they don't get your money. You take it elsewhere.

South Carolina, Georgia and Louisiana will be glad to have the film industry that NC turns down.

NO Question, it should be almost permanent. It put's a tremendous amount of money into our economy, and is a hugh tourist attraction. It's Hollywood East isn't it? It also puts us on the map

Thanks

Hell NO! Its time we start thinking about our schools and teachers and not the useless film industry.

Please take a look at the state's annual budget. We spend over 50% of our $20billion annual budget on education and less than 0.5% on film incentives.

Any chance you think some of those kids who are in school now might one day want to get a good paying job in the film industry? Without incentives, that job opportunity won't be there for them.

Look and think ahead my friend. Film is a growth and tech industry and the state needs it to stay innovative. It's also a green industry that makes little to no environmental impact.

I agree that we should have more focus on schools and teachers but I think extending the film incentives wouldn't cause any harm to the schools. If I understand correctly, the tax incentives at 25% are based on the money that the films spend here and therefore wouldn't even exist if the films didn't come. So it's either they come, spend a bunch of money, and get a 25% rebate OR they don't come, they don't spend any money, and 75% of the money that would have been spent is now gone, along with the associated jobs. So it seems like a win win. Don't get me wrong, teachers are important but right now they are not getting paid enough but still working, without films, local crew will flat out be unemployed. Period :/

WRONG WRONG WRONG.
fsI will give you and example we wioll use a film that spends $100M here.
Of that $100M he state takes in at a state tax rate of 7% or $7M.
The tax "break" is based upon 25% of gross spending or $25M

The state took in $7M and gave out $25M
Where did the other $18M come from?
The general tax coffers of all taxyers in NC
This is one of the greatest rip offs going on right now

Vog

We need more people to get this idea. Well illustrated in a simple way that the average person can understand that NC isn't robbing teachers to pay for film jobs!

We need both!

Kansy gets it.

I agree that we should have more focus on schools and teachers but I think extending the film incentives wouldn't cause any harm to the schools. If I understand correctly, the tax incentives at 25% are based on the money that the films spend here and therefore wouldn't even exist if the films didn't come. So it's either they come, spend a bunch of money, and get a 25% rebate OR they don't come, they don't spend any money, and 75% of the money that would have been spent in Wilmington is now gone, along with the associated jobs. So it seems like a win win. Don't get me wrong, teachers are important but right now they are not getting paid enough but still working, without films, local crew will flat out be unemployed. Period :/ ... That's a lot people