Industry Report: Financing
Study Finds Film Tax Credits Generating Economic Benefits
- One new study shows that for every dollar spent on tax breaks to filmmakers, nearly six-dollars of economic activity is generated in Michigan.
The Ernst and Young study conducted last year was commissioned by the convention and visitors bureaus for metro detroit, grand rapids, ann arbor and traverse city. The report shows the creation of 3,860 full-time equivalent jobs for state residents in 2010 with an estimated impact on sales statewide of $503 million.
The numbers are in contrast to a senate fiscal agency report in september that found Michigan paid nearly twice as much money in incentives as the industry brought to the state in a two-year period, spending $137.5 million to generate $80.6 million in revenue.
Rovernor Rick Snyder wants to cap the film tax incentive at 25-million dollars for future movie projects over the next two years.