The Greene Report recommends that Newfoundland and Labrador increase its support for the arts and culture, but the numbers show that it is already expensive to be in movies and on television.
The provincial government encourages television and film production through tax credits and other measures.
When the subsidies are factored in, the province’s economic stimulus team concludes that each full-time job created in the industry costs taxpayers just over $ 48,000.
The negative cash return for the TV and Movie Financial Incentives over the four-year period from 2014 to 2018 was $ 31.5 million.
According to the report:
To create jobs and promote the province, the provincial government encouraged television and film production in the province through tax credits and other investments. From 2014-2015 to 2017-2018, 69 film and video productions began shooting in the province, for a total expenditure of $ 163.2 million, of which $ 101.1 million was spent in Newfoundland and -Labrador. About 60 percent of that was in direct and indirect jobs in the province. During this period, the Government of Newfoundland and Labrador provided direct grants of $ 36.4 million. The Department of Finance estimates provincial tax revenues from personal income tax, sales and consumption taxes generated by film production activities at $ 12.5 million. The result is an estimated negative net return on cash (net tax impact) of $ 31.5 million.
The Department of Finance estimates the net benefit to the economy of Newfoundland and Labrador at $ 27 million, which is total labor income, less provincial and federal taxes paid by labor, and the net return to labor. Treasure. When provincial government assistance is measured in terms of cost per full-time equivalent position, each direct position is subsidized by an average of $ 48,712.