House Version Of Budget Cuts Movie Tax Credit
The House version of the two-year state budget eliminates a tax break that has been both praised by fans and panned by critics – a $40 million a year tax credit for the movie industry. But researchers from the left and right say it doesn’t pay off.
Wendy Patton with the progressive Policy Matters Ohio said a study from Cleveland State found most of the jobs created by the state’s motion picture tax credit were temporary, and that film tax credits haven’t worked well for other states either.
“There hasn't been a big enough return on investment and it becomes more and more expensive with each widening," said Patton.
Greg Lawson with the conservative Buckeye Institute opposes the credit because he said the state shouldn’t be picking winners and losers.
“I do have to just say we're not going to become the Hollywood of the Midwest with this thing. That's just not going to happen," Lawson said.
While the elimination of the credit is in the House version of the budget, there’s also a bill that would more than double it to $100 million.