Newsom Pitches $1 Billion California Film and TV Tax Credit

California just made a bold bid to keep Hollywood at home. Governor Gavin Newsom proposed growing the state's film and television tax credit program from 750 million dollars to at least one billion, calling the plan historic. He says productions keep fleeing overseas because costs are high and foreign incentives are cheaper, and he wants that trend reversed.

The proposal would stretch credits to above-the-line talent such as producers, directors and cast, reserve 100 million dollars for independent projects, and reward businesses that commit to several California productions. The credit would run through 2040, giving studios long-term certainty. Newsom is also urging Congress to pass a federal revitalization act requiring most principal photography days to happen inside the United States.

The stakes are huge for crews. Citing Senator Adam Schiff, the report says the industry lost 42,000 jobs and that 45 percent of American films and shows were shot abroad in 2025, up from 33 percent in 2022. Whether lawmakers back the plan could decide where your next favorite series gets filmed.