Agencies and Producers Back U.S. Tax Incentive as ‘First Step’ Toward Hollywood Recovery

A coalition of Hollywood talent agencies and independent producers said Thursday that it supports the proposed U.S. tax incentive for film and TV production as a “first step,” but that more will need to be done to revive the industry.

The American Entertainment Alliance — which includes CAA, WME and UTA — is pushing for a revival of the fin-syn rules that allowed independent TV producers to thrive in the 1970s and ’80s.

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But that goal risks complicating the campaign for a 20% federal incentive for domestic production, which has broader industry support and which advocates hope will pass by the end of the year.

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The alliance — which also includes indie producers such as Blumhouse, Imagine Entertainment and MRC — emphasized that it is in “strong support” of the tax incentive, though it also said it will push for tweaks to make it more favorable for independents.

“This legislation is an urgent first step toward bringing production jobs home, and with targeted adjustments, it can also help level the playing field for independent producers,” the AEA said.