N orth Carolina legislators will allow the state’s film tax incentive to run out this year, cutting a 25 percent rebate to a hard cap of $10 million in grants with a $5 million cap per production. Last year, the state spent $61 million in production incentives.
The effective termination of its film industry is a huge mistake on the part of the state legislature.
This year, California will raise its film incentive package to $330 million, a carrot enticing production away from North Carolina’s stick.
North Carolina is no longer home to production of films like “The Hunger Games” and “Iron Man 3,” which both benefited from the program. Production benefits the local economy through on-site spending and by employing North Carolinians both temporarily and permanently. The industry also increases tourism. The N.C. Film Office reported spending of $244 million by production companies in 2013.