The Your
Sep 25, 2026
HyperLocal Loop
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Bipartisan Congress Introduces 20% Federal Tax Credit to Revive U.S. Film Production

A bipartisan coalition of House members and Senators introduced the Motion Picture, Television and Entertainment Revitalization Act on Thursday, aiming to restore U.S. film and television production by providing a federal tax credit for domestic labor.

Key provisions of the bill

The legislation would grant a 20% tax credit on qualified labor expenses for American workers on feature films, television pilots and series that cost more than $1 million and shoot at least 75% of their principal photography days in the United States. Post‑production and visual‑effects work would also qualify if 75% of those costs are incurred domestically.

Bonus credits could raise the incentive to as much as 30% for projects that meet additional criteria, such as independent productions or those filming at least 30% of their days in a rural qualified opportunity zone or a federally declared disaster area. Productions that spend at least $10 million in qualified wages across ten or more states, or companies that increase domestic production relative to overseas work, could also earn extra credits.

Broad bipartisan support

The House effort is led by Reps. Laura Friedman (D‑Glendale), Nathaniel Moran (R‑Texas), Linda Sánchez (D‑Whittier), Brian Jack (R‑Georgia), David Kustoff (R‑Tennessee), Judy Chu (D‑Pasadena), Mike Carey (R‑Ohio) and Tom Suozzi (D‑New York). In the Senate, Sens. Tim Scott (R‑South Carolina) and Adam Schiff (D‑California) are co‑sponsoring.

President Donald Trump voiced his support for federal film incentives after meeting with actor Jon Voight, one of his designated Hollywood ambassadors. California Governor Gavin Newsom, who urged Congress in May 2025 to create a federal incentive, also praised the bipartisan proposal.

Industry backing and projected impact

The bill enjoys backing from major industry unions, studios and organizations, including the Directors Guild of America, International Alliance of Theatrical Stage Employees, Motion Picture Association, Paramount, Producers Guild of America, SAG‑AFTRA, Teamsters, Television Academy and the Writers Guilds of America East and West.

An industry‑commissioned study cited by supporters projects that a federal incentive could generate 143,500 full‑time equivalent jobs annually across the country. The American film and television sector currently supports more than 2 million jobs and pays $202 billion in wages, though more than 100,000 production jobs have vanished since the industry’s peak in October 2022, a decline of roughly 36% through February.

Implementation details

The credit would apply to productions beginning in taxable years after Dec. 31, 2026 and would be transferable, allowing producers who cannot use the full credit against their federal tax liability to sell it.

With bipartisan momentum and strong industry endorsement, the legislation seeks to keep Hollywood’s creative engine at home, protect American jobs and ensure that U.S. storytelling remains a global leader.


Original reporting: NBC4 Los Angeles — read the source article.

OBBM Network Editorial Staff

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Editorial team behind OBBM Network — independent, hyper-local journalism syndicated through HyperLocalLoop and OBBM Network TV.

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