Hollywood Groups Call for Tax Changes After Trump’s Tariff Threat

[IMPORTANT: Make this 4 times longer with much more detail]

Trump Administration live Updates May 12, 2025, 8:18 p.m. ET The First 100 Days Lawsuits Tracker Tracking the Layoffs Approval Ratings Advertisement SKIP ADVERTISEMENT Supported by SKIP ADVERTISEMENT Hollywood Groups Call for Tax Changes After Trump’s Tariff Threat “Returning more production to the United States will require a national approach and broad-based policy solutions,” the groups said in a letter to the White House. Listen to this article · 2:00 min Learn more Share full article The Motion Picture Association asked for a range of tax breaks in a letter it and several other groups sent to President Trump. Credit… Valerie Macon/Agence France-Presse — Getty Images By Nicole Sperling May 12, 2025, 5:13 p.m. ET Several Hollywood industry and labor organizations wrote to President Trump on Monday asking for tax breaks that they said would help bring more film and television production back to the United States. Their letter was sent in response to Mr. Trump’s declaration on Truth Social this month that he would put a 100 percent tariff on films made outside the United States. It was signed by the Motion Picture Association, which represents the major Hollywood studios; the main writers’ and actors’ guilds; and the actors Jon Voight and Sylvester Stallone, two of Mr. Trump’s chosen Hollywood advisers. “Returning more production to the United States will require a national approach and broad-based policy solutions,” the letter said. The White House quickly walked back Mr. Trump’s tariff threat , but not before his post had put a spotlight on the declining levels of film and TV production in California and the United States. Gov. Gavin Newsom of California, who has long supported doubling his state’s tax credit for production, countered Mr. Trump by calling for a $7.5 billion federal tax credit. The letter sent Monday focuses instead on three requests for changes to the tax code: A 15 percent corporate tax rate (down from the current 21 percent) for domestic manufacturing activities, including film and television production. Extending a tax provision that allows up to $15 million of qualified film and television production expenses to be deductible in the year the expenses are incurred, instead of the year a film or television show is released. The group also asked for the limit to be raised to $30 million. Allowing studios and production companies to carry losses to prior and future tax years. Nicole Sperling covers Hollywood and the streaming industry. She has been a reporter for more than two decades. See more on: U.S. Politics , Donald Trump Share full article Advertisement SKIP ADVERTISEMENT