California's expanded film tax credit program has selected 38 film projects, highlighted by 20th Century Studios' The Simpsons Movie 2, with an allocation of $21.9 million. For the first time, animated films are eligible, including three projects from DreamWorks Animation, 20th Century Studios, and Disney Television Animation. These productions are estimated to generate nearly $800 million in economic activity, with over 460 days of filming outside the usual studio area.
Technical details of the new animation credit 🎬
The inclusion of animation in the program responds to changes in California legislation, which now allows studios like DreamWorks and Disney to access tax deductions of 20% to 25% of production costs. Projects must meet local spending requirements and generate direct employment in the state. For The Simpsons Movie 2, the $21.9 million figure covers part of the digital animation and post-production budget, incentivizing the work to be done in California rather than migrating to other states or countries with lower costs.
Homer Simpson celebrates his new role as a real estate investor 🍩
With $21.9 million, Homer could buy 438,000 donuts or a house in Springfield. But no, the money is to prevent the studio from moving to Texas. Meanwhile, California citizens wonder if watching Bart skateboarding for 460 days justifies another cut in education. At least, animation ensures no one will have to clean the film set.