When will we see the impact of the $750 million expansion to the California tax credit for filming in the state? Maybe next quarter.
According to the latest numbers from FilmLA, production in Los Angeles was down again this quarter compared to the same period last year, a 12.7 percent decrease from Q2 of 2025. It’s also 35.9 percent down from the 5-year average. In all, it amounted to 4,711 shoot days for the quarter, and it was also a drop from the 5,121 shoot days just last quarter.
So when are things going to turn around? FilmLA notes that 170 projects have been granted tax credits as part of the the California Film & TV Tax Credit Program 4.0, including the most recent batch from earlier this month of 41 more feature film projects, including “Disney’s Hexed” and the “Shrek” prequel “Donkey.” The organization says that the majority of these projects are shooting now or are starting very soon, and they will appear in FilmLA’s records for next quarter. So don’t sweat anything yet!
“While there is still much work to do, FilmLA’s quarterly report is proof that incentives are working: local incentivized productions are on the rise, creating good-paying union jobs and realizing economic opportunity for Angelenos,” said City of Los Angeles Mayor Karen Bass. “I created the state’s first-ever film and tv tax credit, fought to expand it to $750 million, and I’m doubling down by fighting for an un-capped tax credit that includes competition reality television and “above-the-line” spend, while also fighting to create the first-ever federal film incentive. We’ll keep cutting red tape and slashing permit fees at the local level, because this industry is core to the history, culture, and economic power of Los Angeles.”
Diving into the numbers, film production was down about 20 percent compared to the same time period in 2025, though that actually comes after a boom period in which in Q1 films were up significantly compared to 2025. Those that shot this quarter were largely indie features, including the titles, “Chester’s Awakening,” “Kill Royale,” “They Know,” and “The Incredible Heist of Hallelujah Jones.”
TV Dramas, which included “Baywatch,” “The Night Agent,” “Prison Break,” and “Ballard” this past quarter, were down slightly from last year but picked up 55.1 percent compared to Q1 of 2026, which is a positive sign. FilmLA acknowledged that the numbers for TV Comedies, which included “Shrinking” and “The Studio” shooting here, were “disappointing,” but “not alarming.” It was a 43 percent drop from 2025, but FilmLA chalked it up to many of the comedies shooting on sound stages that aren’t counted among on-location shoot days as part of these numbers. And TV Reality, which was down nearly 40 percent from 2025, is declining as part of a “multi-year downward trend,” FilmLA said.
Production of commercials was down 21.5 percent from 2025, and production in the “Other” category encompassing student films, documentaries, online content, and music videos was up 10 percent from last year.
“Recent Emmy-nominated productions such as ‘Hacks,’ along with California Film and TV Tax Credit recipient ‘The Pitt,’ have demonstrated the strong economic and creative contributions these types of shows can bring to the region,” FilmLA CEO Denise Gutches said. “Because scripted television production supports more industry jobs than any other production category, helping to attract these types of productions is an important step towards bringing filming back to the region, restoring jobs, and strengthening our local production economy.”
Source:
www.indiewire.com
