Lawmakers threaten "eminent" domain over producers House of Cards and set

[Matt1970]

I don't understand why Maryland taxpayers signed up to pay $1M of their tax money per episode of House of Cards in the first place. I can't see how House of Cards can ever create enough jobs and taxes in Maryland to cover $1M per episode. I don't see what the compelling state interest in subsidizing film industry is. These are non-recurring temp jobs, if they spent that money subsidizing small business loans, they could at least create some lasting economic benefits with attachment to the community.

They didn't pay $1M of their tax money per episode, the show got tax credits.

 

[Zaap]

Albuquerque got about 1 million in revenue per episode of Breaking Bad.

http://www.nytimes.com/2013/09/29/b...reaking-bad-is-hard-for-albuquerque.html?_r=0

It's amazing that it even has to be pointed out that bringing business to a community brings money to that community, not the other way around. There was a time when people were actually happy to have a business decide to move to their community and bring money and jobs- now that's 'evil' to nitwits who've spent a lifetime sucking up to politicians.

It's like I say though, when a society defaults to being so stupid that people can't understand something so basic, then that society should lose consideration for the jobs. Let others elsewhere in the world that still have common sense have the business, and let ignorant First-worlders go back to whining boo hoo how come I don't have a job and can't feed myself. They actually prefer that.

 

[Oldgamer]

Nobody seems to want to discuss the state abusing eminent domain but instead ask why the state paid them in the first place. I find the state willing to use eminent domain to take property from anybody because of sour grapes ridiculous.

Ding! Ding! Ding! We have a winner! That is exactly right. It is actually an abuse of power. If they do this and the Hollywood producers take them to court they will lose. But to think they will go this far is ridiculous because that is not what eminent domain is intended for.

 

[Ns1]

lol, that'll destroy MD film industry immediately.

 

[First]

Ding! Ding! Ding! We have a winner! That is exactly right. It is actually an abuse of power. If they do this and the Hollywood producers take them to court they will lose. But to think they will go this far is ridiculous because that is not what eminent domain is intended for.

That's exactly right, but I think the flagrant ridiculousness of this eminent domain claim by the state seems to be a pretty obvious (and sad) negotiating ploy, no other reasonable explanation for it because, as you say, it would likely get thrown out (though admittedly am not an attorney).

 

[Darwin333]

^ Classic reason why you can't blame businesses for getting out of this state and away from complete morons like this.

Maryland isn't "spending" a dime.

Once more- the money is Netflix's.

You're probably too dumb to even know that Netflix doesn't HAVE to produce shows. They already have a business model, maybe you've heard of it if you ever get out of your haze of stupidity.

So liberals are so stuck on stupid, a company that doesn't even traditionally produce content decides "Hey, let's spend 100 million dollars making our own show. Who'll give us the best deal?" (Sure as hell not California with retards of this mindset running it.)

So a state that's smarter than Cali realizes "Hey, someone is going to spend $100- that OTHERWISE DOESN'T HAVE TO, it's a good idea to bring that money HERE, rather than let it go elsewhere." So they offer *GASP!!!!* an INCENTIVE for that.

The state that gives the best deal gets the 100 mill- oh wait, I'm sorry- the 74 million spent in their state. (You see statist morons, the other $26 million? It didn't come out of a state coffer like you morons believe- it was, is, always was NETFLIX's. They simply spent 74 mill rather than 100. The state profited. The people doing the 3k a week jobs working on the show profited. AND they'll pay taxes on that money.)

But I know, this is all voodoo witchcraft and *GASP* math stuff, and tracking that $26 mil is like some sort of unfair shell game to statist nitwits. "Where'd it go!?! Which shell is it under?! Where'd it go?"

If I were Netflix, I'd write this country off as too fucking stupid to produce their content in. Move 100% of the production elsewhere. People here are too fucking stupid for those jobs.

That isn't the way these tax credits work, as a business owner in the film industry I would have thought you would have known that especially considering the insults you are throwing around.

You see, these are refundable tax credits. So the ONLY way that the state doesn't cut a check directly to Netflix is if Netflix has a state tax liability of at least the value of the tax credits which is absurdly unlikely. Of course you, as a business owner, should understand that.

Now there is undoubtedly indirect tax revenue from other companies that work for Netflix and income taxes from the jobs created. The indirect taxes are rather difficult to estimate but that isn't what you are arguing.

Netflix did in fact spend the $100M (or whatever) and the state did/will in fact cut Netflix a check, the amount of which will be the tax credits minus their state tax liability, allowing Netflix to recoup some of that $100M.

Refundable tax credits are currently a very big deal in the movie industry, I am rather surprised that the owner of a company in the industry doesn't have the slightest clue on how they work. If you need anymore help with this "math stuff" I would be happy to assist.

 

[Darwin333]

Ding! Ding! Ding! We have a winner! That is exactly right. It is actually an abuse of power. If they do this and the Hollywood producers take them to court they will lose. But to think they will go this far is ridiculous because that is not what eminent domain is intended for.

That is the truly fucked up part of all of this. A private company can demand whatever they want within the confines of the law and Netflix, as far as I can tell, has broken no law. For the government to threaten to take their property quite literally at gunpoint if Netflix decides not to do business there anymore should be criminal.