Bill > AB1377

This bill modifies California's existing motion picture tax credit program for personal and corporate income taxes, focusing primarily on changes to diversity requirements and credit certification. Specifically, for taxable years beginning on or after January 1, 2025, the bill removes the "good faith effort" standard for diversity goals and requires that film productions actually meet their stated diversity objectives to receive the full tax credit. Productions will need to submit a detailed diversity workplan and a final diversity assessment that demonstrates how they achieved their goals in terms of workforce diversity and representation across various job classifications. The bill maintains the existing credit structure, which offers 20-25% tax credits for qualified motion picture productions in California, with additional incentives for productions filming outside the Los Angeles zone or bringing television series to the state. The bill also continues the Career Pathways Training program, which funds technical skills training for individuals from underserved communities in the film and television industry. Notably, the bill requires a two-thirds legislative approval because it constitutes a change in state taxes that could increase revenues, and it takes effect immediately as a tax levy.

Budget and Finance, Business and Industry

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB1377