Barry_Green
Moderator
Okay, I recognize this is potentially inflammatory ground, for a forum that specifically prohibits talk of politics. But here is an issue that could have a direct effect on filmmakers attempting to raise money for their productions, so we as moderators have discussed it and feel that it seems relevant to bring this to the attention of the USA-based portion of our community. However, the issue is brought up for informational purposes, not for activism purposes. Whether you agree or disagree with the advisability or suitability of film incentives or the usage of tax dollars is NOT for discussion here. This is merely to point out an issue that is occurring within the US tax laws, and for people who have opinions on it to be encouraged to write to their congressional representatives or senators.
NOT to discuss those opinions here! ('cause that would break the no-politics rule). We don't need the fighting here. We're just making you aware of it in case it affects you.
Okay, with that said -- currently the US tax law provides an incentive for US investors to invest in US film production activities. This tax law is Section 181. It was added as part of the American Jobs Creation Act of 2004. What this tax law does, essentially, is allow investors to immediately deduct the full amount of their investment in a film, rather than get into complicated amortizations. It greatly simplifies the accounting, and perhaps maximizes the appeal, of investing in film productions, for investors who are in higher tax brackets. Under Section 181, an investor may be more likely to invest in a film, than s/he would be if Section 181 did not exist.
Originally set to expire in 2008, the act was extended for one year under the Renewable Energy and Job Creation Tax Act of 2008.
As it stands now, this provision in the tax law will expire on December 31, 2009.
Obviously it is within the power of the US Senators and Representatives to extend this act, or to allow it to expire.
If you have an opinion on whether this act should be extended (whether for or against, that's none of our business here and we're not discussing that) then you should consider writing to your congressional representatives and senators. Each citizen of the US is represented by one House Representative and by two US Senators.
You can locate who your US House Representative is, and send them a message, by visiting www.house.gov/writerep .
You can locate the US Senators who represent your state, and send them a message, by visiting http://www.senate.gov/general/contact_information/senators_cfm.cfm
If you wish to engage in advocacy about this issue, either for or against, you can share or digg it using the "share" menu on the toolbar, which could rapidly raise the visibility of the issue. Obviously, outside of DVXUser, you're encouraged to share your views on the subject with your friends, family, whoemever you feel like, and encourage them to write their representatives and share their feelings. We just don't want to bog down DVXUser with a bunch of political talk on the appropriateness or inappropriateness of such a measure.
We did, however, feel that the direct applicability of this issue and how it could affect filmmakers, merited at least pointing out the current status and approaching expiration date, so those in favor could request an extension, and those against it could request expiration.
NOT to discuss those opinions here! ('cause that would break the no-politics rule). We don't need the fighting here. We're just making you aware of it in case it affects you.
Okay, with that said -- currently the US tax law provides an incentive for US investors to invest in US film production activities. This tax law is Section 181. It was added as part of the American Jobs Creation Act of 2004. What this tax law does, essentially, is allow investors to immediately deduct the full amount of their investment in a film, rather than get into complicated amortizations. It greatly simplifies the accounting, and perhaps maximizes the appeal, of investing in film productions, for investors who are in higher tax brackets. Under Section 181, an investor may be more likely to invest in a film, than s/he would be if Section 181 did not exist.
Originally set to expire in 2008, the act was extended for one year under the Renewable Energy and Job Creation Tax Act of 2008.
As it stands now, this provision in the tax law will expire on December 31, 2009.
Obviously it is within the power of the US Senators and Representatives to extend this act, or to allow it to expire.
If you have an opinion on whether this act should be extended (whether for or against, that's none of our business here and we're not discussing that) then you should consider writing to your congressional representatives and senators. Each citizen of the US is represented by one House Representative and by two US Senators.
You can locate who your US House Representative is, and send them a message, by visiting www.house.gov/writerep .
You can locate the US Senators who represent your state, and send them a message, by visiting http://www.senate.gov/general/contact_information/senators_cfm.cfm
If you wish to engage in advocacy about this issue, either for or against, you can share or digg it using the "share" menu on the toolbar, which could rapidly raise the visibility of the issue. Obviously, outside of DVXUser, you're encouraged to share your views on the subject with your friends, family, whoemever you feel like, and encourage them to write their representatives and share their feelings. We just don't want to bog down DVXUser with a bunch of political talk on the appropriateness or inappropriateness of such a measure.
We did, however, feel that the direct applicability of this issue and how it could affect filmmakers, merited at least pointing out the current status and approaching expiration date, so those in favor could request an extension, and those against it could request expiration.
). Thanks for the info!
