Trump Backs Federal Film Tax Credit To Revive US Entertainment Industry

US President Donald Trump has backed the introduction of a federal tax incentive for film and television production, arguing that the American entertainment industry is losing jobs and productions to countries offering more attractive incentives.

Trump made the proposal on Monday after meeting with actor Jon Voight, who has been among industry figures pushing for a nationwide production incentive.

Describing Hollywood as a “complete and total disaster,” Trump said production activity had declined despite the industry’s global reputation, with thousands of jobs moving to filming destinations such as Canada.

He called on Republicans and Democrats in Congress to work together on legislation that would encourage studios to produce more films and television programmes in the United States and restore lost entertainment jobs.

Trump did not provide details on the proposed incentive, although industry advocates have generally supported a tax credit of about 25 per cent. He said discussions were being arranged with leaders of both parties to advance the proposal.

The Motion Picture Association welcomed the initiative, with CEO Charles Rivkin saying a federal incentive could increase production across the US, strengthen the economy and make the country more competitive as a filming destination.

The proposal also received bipartisan support, with Democratic Senator Adam Schiff urging Congress to approve a federal film tax incentive to bring back jobs lost to other countries.

Industry organisations including SAG-AFTRA, the Directors Guild of America and the Writers Guild of America have also supported stronger government incentives for domestic film and television production.

California has separately expanded its state-level film and television tax incentive programme as authorities seek to attract more productions and jobs back to the state.