Trump Calls on Congress to ‘Save’ Hollywood With Federal Tax Breaks for American Productions

President Donald Trump is calling on Republicans and Democrats in Congress to approve a new federal tax incentive aimed at bringing film and television production back to the United States.

Trump threw his support behind the proposal Monday following a meeting with actor Jon Voight, whom the president previously appointed as one of his special ambassadors tasked with helping revitalize Hollywood.

The president described Hollywood’s current condition as a “Complete and Total Disaster,” arguing that American productions have increasingly moved overseas because companies have little financial incentive to keep their projects in California or elsewhere in the United States.

Trump said Voight and other entertainment industry figures have recommended federal tax incentives as a way to reverse that trend and make America significantly more competitive with foreign production hubs.

“I am going to suggest that Republicans and Democrats get together, and immediately craft Legislation to save the Movie, Television, and Entertainment Business in America,” Trump said.

The president called for Congress to immediately approve a federal production incentive designed specifically to create entertainment jobs inside the United States.

Trump argued that the proposal should receive bipartisan support, noting that California and several other Democratic-leaning states have been among the places hardest hit by the loss of film and television production.

Meetings with congressional leaders from both parties are already being arranged as the administration attempts to turn the proposal into legislation.

Although Trump did not specify the exact size or structure of his preferred tax break, entertainment industry officials have previously discussed federal production credits ranging from roughly 15% to 20%.

One proposal backed by Voight’s allies would provide a 20% federal tax credit for labor expenses associated with movies and television programs produced in the United States.

The federal incentive could potentially be combined with existing state programs, allowing production companies to receive both federal and state tax benefits for keeping their projects in America.

Trump argued that the economic activity generated by bringing productions home would ultimately outweigh the government’s cost of providing the incentives. He predicted that money spent on the tax breaks could be recovered many times over through increased economic activity and federal revenue.

Hollywood has faced a significant decline in domestic production as studios increasingly choose countries such as Canada and the United Kingdom, where government incentives and lower production costs can make filming considerably cheaper.

Nearly 45% of American films and scripted television programs were reportedly filmed internationally last year, up from roughly one-third in 2022.

The Motion Picture Association welcomed Trump’s announcement, arguing that a federal incentive could create jobs and bring more film and television projects into communities across all 50 states.

The idea has also attracted support from some Democrats. California Sen. Adam Schiff has previously argued that state-level incentives alone cannot compete effectively against aggressive programs offered by foreign governments.

Trump had previously floated a far more aggressive approach to the problem, including imposing tariffs on movies produced outside the United States. His latest proposal instead focuses on giving studios a financial reason to move productions back onto American soil.

For Trump, the issue is about more than rescuing California’s entertainment industry. He argues that movies and television represent a quintessentially American business that should employ American workers rather than increasingly shifting jobs and production spending overseas.

“What we watch on the Silver Screen should be made in what was once the Movie and Motion Picture Capital of the World,” Trump said, urging lawmakers to move quickly. “Let’s get this done!”