“Beverly Hills Cop 4” will get upwards of $15 million in tax credits for filming in California, the California film & TV tax credit program announced recently.
The movie is just one of nearly two dozen films that are receiving tax credits for filming in California this year. Those range from $262,000 (“Dead Wrong”) to over $18 million (“Rebel Moon”) in tax credits. “Beverly Hills Cop 4” got one of the more generous tax credit deals on the list.
The Jerry Bruckheimer reboot is the result of a one-time licensing deal between Netflix and Paramount, per The Hollywood Reporter. The first film in the franchise came out in 1984.
The California Film Commission has a $660 million budget for the current fiscal year, according to Variety. Its executive director, Colleen Bell, said in a statement that there is a healthy mix of projects receiving tax credits.
“We look forward to welcoming this diverse blend of films and filmmakers to the tax credit program,” Bell said.
‘Beverly Hills Cop 4’ to Generate Millions in Spending in California
“Beverly Hills Cop 4” is scheduled to film in the state for 58 days, according to THR. That includes shooting on location in San Bernardino.
The film, which is receiving a total tax credit of $15,759,000, should generate about $78 million in qualified spending in the state. (‘Qualified spending’ is defined as below-the-line wages to California workers and payments to in-state vendors.)
All told, the almost two dozen films receiving tax credits from the Film Commission will be hiring about 4,088 crew members, 873 cast members and 40,621 background actors and stand-ins over the course of 953 collective filming days. They will also provide untold numbers of post-production jobs for sound editors, sound mixers, musicians, VFX artists and others.
Roughly 25 percent of those 953 filming days will take place outside Los Angeles’s 30-mile studio zone.
California Boosted Film and TV Tax Credit Program by $330 Million This Year
Up until this year, the Film Commission had a $330 million budget. Then, this May, Gov. Gavin Newsom proposed a $30 million boost. The California Legislature then offered $180 million over two years.
Finally, the governor and the Legislature settled on a compromise of $330 million. Newsom signed the increase into law last month, per Deadline.
The baseline $330 million tax credit boost will reportedly increase to $420 million per year starting next year for two years. Then it will return to $330 million before expiring in 2025.
“Other states and countries are hard at work trying to court this industry,” said Robbie Hunter, president of the building trades council, and Thom Davis, president of the Entertainment Union Coalition, in a joint statement. “And they’ve had some success. In California we cannot afford to lose any more blue-collar, middle-class jobs. We are going to ensure this industry stays where it was born and belongs. And we are determined to grow it with our efforts.”
It is true that other states also offer incentives for filming within their borders (“Yellowstone,” for example, recently received a $50,000 grant from the Montana Film Office for filming in the Montana towns of Darby and Hamilton). But California’s current budget for incentives dwarfs most other states, including New York, which allocates $420 million to the Film Production Program.
Looks like California has kicked off a spending competition, and films like “Beverly Hills Cop 4” are the beneficiaries.