Embattled film, TV industry seeking sweeter tax credits
Toronto's film and television industry is pleading for help from the federal government, hoping to lure American productions back with bigger tax credits.
The amount of American production in the city dropped to $100 million last year from $300 million in 2007.
"It's been a real struggle for us," said Ken Ferguson, one of the co-owners of Filmport — a set of massive soundstages built in the east end of the city.
Only one of the seven soundstages has been used since the $60-million facility opened last summer.
A combination of circumstances has hobbled the industry in Canada: the high dollar, the strike by American writers, the world economic crisis and a simmering dispute with U.S. actors.
Even though the Canadian dollar has dropped, business isn't coming back, according to Ferguson.
This week, Toronto Mayor David Miller met with studio and film executives in Los Angeles in a bid to drum up more business.
But Ferguson says the lack of productions can be attributed to the fact that American states are offering better tax breaks.
"It's frustrating because I know some of the labour and talent from here is travelling down … to work in Michigan. I know that some of our equipment is going to Michigan," Ferguson said.
Sweeten incentives
Many in the industry are now lobbying the Conservatives to sweeten federal tax incentives in next week's budget, including a 10 per cent boost in tax credits for both foreign and domestic productions.
"We believe the Conservatives are responding favourably to this, and we're hopeful we'll see it in the budget," said Stephen Waddell of ACTRA, the actors' union.
Waddell's comment signals a more hopeful expectation from the Tories than last year when the Conservatives threatened to deny tax credits for Canadian productions if they were deemed offensive.
The industry fought Bill C-10 last year, which would have allowed the Heritage minister to decide which television and film productions were worthy of a tax credit.
The Tories dropped the issue quietly in the fall, saying they would not re-introduce the bill if they were re-elected.