Us Congress 2025-2026 Regular Session

Us Congress House Bill HB4787

Introduced
7/29/25  

Caption

To amend the Internal Revenue Code of 1986 to extend the deduction for film and television productions and to make certain changes with respect to the calculation of such deduction.

Impact

The passage of HB4787 would have considerable implications on state laws regarding tax deductions. By extending these deductions and increasing the thresholds for qualifying productions, the bill positions the film and television industry to benefit financially, which may stimulate local economies where these productions take place. Additionally, provisions for inflation adjustments demonstrate an effort to keep the incentive relevant in a changing economic landscape. Industry supporters see this as a major boost for job creation and economic activity within the entertainment sector. However, it could lead to contention over budget allocations, as funds for these tax deductions must be justified amidst other state financial needs.

Summary

House Bill 4787 aims to amend the Internal Revenue Code of 1986 by extending the deduction for film and television productions. This bill, introduced on July 29, 2025, seeks to amend the relevant sections of the tax code to not only extend this deduction until December 31, 2030, but also to increase the maximum allowable dollar limitations for qualifying productions. Specifically, the bill raises the deduction ceiling from $20 million to $40 million for certain areas and sets forth provisions for annual inflation adjustments to these dollar limits starting in 2027. This is significant for the entertainment industry, potentially leading to more productions being financially viable and encouraging growth in that sector.

Contention

While proponents argue that extending these deductions will bolster the local film industry and contribute positively to the economy, opponents may raise concerns about the impact on state revenue. The fiscal implications of such tax breaks could draw scrutiny regarding their effectiveness compared to other forms of state funding or investment. Critics might also question whether such tax incentives disproportionately favor larger studios over independent filmmakers and studios, potentially creating an uneven playing field within the industry. The broader debate on tax incentives for specific industries versus general taxation equity is likely to be a focal point in discussions surrounding this bill.

Companion Bills

No companion bills found.

Previously Filed As

US SB5478

A bill to amend the Internal Revenue Code of 1986 to increase the deduction for certain expenses of elementary and secondary school teachers and to allow an equivalent deduction for home educators.

US HB7425

To amend the Internal Revenue Code of 1986 to provide a deduction for certain newborn expenses.

US HB4026

To amend the Internal Revenue Code of 1986 to allow certain credits and deductions to be taken as a refundable tax credit by Puerto Rico businesses or residents, and to extend such credits and deductions to possessions of the United States.

US SB5640

A bill to amend the Internal Revenue Code of 1986 to protect children's health by denying any deduction for advertising and marketing directed at children to promote the consumption of food of poor nutritional quality.

US HB10373

To amend the Internal Revenue Code of 1986 to create a tax credit for nurse preceptors.

US HB4967

To amend the Internal Revenue Code of 1986 to allow for deductions for the performance of certain services by a taxpayer, and for other purposes.

US HB2634

To amend the Internal Revenue Code of 1986 to make alimony deductible.

US HB5251

To amend the Internal Revenue Code of 1986 to allow a deduction for investment advisory expenses of certain funeral and cemetery trusts during suspension of miscellaneous itemized deductions, and for other purposes.

US HB376

Puerto Rico Film, Television, and Theatre Production Act of 2023 This bill extends the expensing provisions for film, television, and theater productions to productions in Puerto Rico. (Expensing permits the write-off of property costs in the current taxable year rather than amortizing such costs over a period of years.)

US HB9338

To amend the Internal Revenue Code of 1986 to restrict the advanced manufacturing production credit with respect to components produced by, or in connection with, foreign entities of concern.

Similar Bills

No similar bills found.