We love L.A. Randy Newman famously gave us the melody for that phrase. For more than 100 years, Los Angeles has been the entertainment capital of the world — a city of dreamers, creators and innovators. But now, our city needs help.
As someone who works in this industry, I’ve seen first-hand the impact of our community’s creativity and resilience. But recently, we all experienced something that shook us to our core. While I was out of the country shooting in Ireland, I felt helpless as my family back in Los Angeles was caught between two raging wildfires, evacuating with so many others as we waited to find out if our home was still standing. Mercifully, it was, but countless dear friends wound up losing everything. Entire communities were reduced to ash, along with the homes, dreams and life’s work of thousands.
It was the most helpless feeling I’ve ever had as a father and as someone who has an unshakeable love for Los Angeles. Hearing that your community has been wiped out is a surreal type of pain that I wouldn’t wish on anyone. This kind of massive destruction demands a massive response that goes far beyond the rebuilding of homes.
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Many years ago, in a different life, I had a fancy finance degree and was offered a plum job on Wall Street, which I turned down to become an actor. My parents are still reeling. I may have left the world of finance, but it’s still a world and a culture that never left my bones. It doesn’t take a finance degree to recognize that there are no simple or quick fixes to writing the next chapter of the L.A. story. But there is one important step we can take, and one that needs to be part of the rebuilding effort. We need to bring back the entertainment industry.
Of course, Los Angeles isn’t just about the entertainment industry. We’re a city of workers, shop owners, doctors, bartenders, nurses, teachers, landscapers and countless others who make this city great. We’re a city of tenacious people who take pride in their communities and dream big for their families. However, the industry that fuels so much of L.A.’s economic activity is the one we call Hollywood.
In order to curb runaway production, we must increase California’s film and TV tax incentives to 40% with no cap — at least through 2028, when the world will have its eyes on us during the Summer Olympics. Currently, California offers only a 25% tax incentive that caps out at $350 million in total per year. There is a proposal on the table for an increase to a $750 million cap, but even that comes with significant limitations that exclude key parts of a production’s budget. Our city took a huge hit. We need a big swing to help it heal and thrive again.
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Other places, including New Jersey, New York and Georgia to Canada, Australia, Hungary and Ireland, offer tax incentives in the 30%-40% range and have no cap. The studios have followed the money. The result? Los Angeles loses. Restaurants close. Small businesses fail. Families move away. And if you live in L.A. like I do, you have seen this happen time and time again with dear friends over the last few years. Our city is great, but the bedrock of its greatness is being neglected. We’re at risk of losing the business that put Los Angeles on the world stage. Forever.
I can appreciate that entertainment companies — whether they are streamers, studios or networks — have a board of directors and shareholders who are focused on the bottom line. Too often, accountants and budgets dictate where we shoot movies and TV shows. We need our state government to offer a true financial incentive to stay here. If we can get the P&L close enough to be competitive, hearts and minds will follow. After all, the entertainment business is run by people, and many of those people live here and raise families here and in many cases become like family to me as well. We all long to see the City of Angels and its filmmakers thriving again. We love L.A.!
A 40% tax incentive would bring more production back to L.A., creating a ripple effect that benefits everyone. For every dollar spent on tax credits, the return to the local economy is substantial. The money spent here by productions — from wages to supplies — goes directly into our community, funding local businesses, schools and public services.
And so do taxes on our wages. At present, 20% of my compensation for the show I’m working on is going to Ireland. Rather than have our wages taxed by foreign countries, wouldn’t it be better for those taxes to go toward our own public schools, infrastructure and, yes, firefighters? I truly want this industry to thrive around the world, but in this time of crisis, instead of having Tom Cruise’s tax dollars flowing overseas, imagine the impact of that revenue staying here in California. Instead of production paying for sets, props and cast members in other countries, right now we need them spending it here.
And the activity spurred by TV and movie production isn’t just about wages and direct expenditures, it also means cast and crew spreading money around town at restaurants, local hotels, supermarkets, gas stations and myriad other businesses. In fact, in solidarity, the international film industry can be a partner here as well. The entertainment capital of the world has inspired filmmakers for generations. When we film abroad, we’re welcomed like family. Now, we ask the world to come to L.A. Be a part of our family. Be a part of our story. Help us heal LA.
We know there is a massive cleanup effort ahead of us. It will take billions of dollars to recover, to put people back in a home, to redesign and recreate neighborhoods that have been lost. But part of that effort needs to include an investment in building hope as well as housing. Jobs bring hope.
Los Angeles has faced its share of challenges. We’ve lost so much production. We’ve endured a pandemic, labor strikes and devastating fires. This feels like Hollywood’s rock bottom. But we know better than anyone: the best stories start at rock bottom. A 40% tax incentive will help our hero — Los Angeles — rebound in a big way with the third act that we all desperately need.
Actor PJ Byrne‘s latest film is the Oscar-nominated “A Complete Unknown.” He’s in production at present on the USA Network drama series “John Grisham’s The Rainmaker,” and he will be back on the big screen in 2026’s “Flowervale Street” alongside Anne Hathaway and Ewan McGregor. Past film credits include “The Wolf of Wall Street,” “Babylon,” “Green Book” and “Rampage.” TV series include “The Boys,” “Big Little Lies,” “Ghosts” and “Irreverent.”