Hollywood Tax Cuts Extended in Fiscal Cliff Deal

Hollywood studios and lobbyists, many of whom supported President Barack Obama and Democrats, managed to get production tax cuts extended as part of the last minute fiscal cliff deal approved Monday night by the Senate.

The extension of the tax incentive allows for all film productions, including each individual episode of a television series, to a deduction of between $15 million and $20 million depending on the location of the production, reported Breitbart.

The original tax incentive applied to productions that cost less than $20 million to make when it was passed in 2004, however the 2008 extension of the deduction applied to all productions.