Is the Film Tax Credit Working?

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 Billy Weir over at the ol’ Hartford Courant has a story this morning about a study looking at the impact of Connecticut’s tax break for production companies.

From the article:

A state study of 13 film productions that qualified for Connecticut’s generous tax credits estimates that 78 percent of the money spent on filming stayed in the state and that nearly 400 jobs were created.But the economist who led the study said it’s too early to know if those tax credits for the movie and television business is paying off.

The study, which the state required when it enacted the tax credit program, is a first-year analysis of the program’s economic impact from July 1, 2006, to June 30, 2007. The tax credits allow 30 percent of production expenditures within the state to be credited against state corporate taxes.

“The results showed modest one-year returns in terms of jobs created and new gross state products.”

Modest returns? OK, I’ll buy that. But the tax break was responsible for this sweet YouTube video!

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