Missouri Governor's failed math | Tax Credit Archives | Informative Articles | Missouri Tax Credits

Governor Jay Nixon could use some brushing up on his math and economics. After a successful experience with Up in the Air, a recent George Clooney film, director Michael Beugg decided to make another film in Missouri. He applied for $4.5 million in Missouri film production tax credits for a movie called Fun Size. This is the maximum allowed under the current program. Most states approve such requests in a day or so. However, our Governor is pouting because he can't get his way and reduce Missouri's tax credit programs. He took two months to inform the director that the film would only receive $1 million in Missouri film production tax credits.

We all know what happened. The movie will now be shot elsewhere. The Governor should be very proud. He "saved" the state $4.5 million in tax credits. He also saved us from the $12.8 million minimum that the film would have to spend in Missouri to get all of the credits. Kim Tucci, head of the film commission, estimated that the film would have generated $30 million in economic impact. The Governor clearly does not understand that cutting out credits also eliminates a greater amount of economic activity that is required to receive them.