‘House of Cards’ Season 3 Premiere: Maryland Agrees To Netflix Show’s Higher Tax Credit Demands? [VIDEO, PHOTOS]
Since January, the production company for the hit Netflix series House of Cards, Media Rights Capital (MRC), has been battling with the State of Maryland, demanding higher tax credits to film Season 3 in MD. While the State seemed reluctant at first, due to the show's threats of setting up shop elsewhere if not appeased, later reports suggested that it would give in to MRC's demands by April 7. Have both parties finally reached a happy medium?
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Well almost, but there's one condition. Reportedly, since filming in Maryland creates a lot of jobs and economic value within the State, for the past few years it has set aside $7.5 million as a reward for production companies that choose to film there. For the filming of its first two seasons, House of Cards received $26.6 million in tax credits from Maryland, and was expecting to receive "at least $15 million for filming Season 3, but so far it has been promised only $4 million," reported The Washington Post, Tuesday.
Likewise, while legislation in favor of raising the show's funding to $18.5 million was approved by the Senate Budget Taxation Committee, towards the end of last night's debate session, the House Ways and Means Committee altered that legislation some. Not only did the House's legislation seek to stash away $7.5 million of that $18.5 million into the state budget, but also, "delegates want Maryland to have the power to reclaim money if a production company skips town." While that may be a better deal than Maryland's previous threat to use eminent domain and seize the House of Cards set and equipment if it ever ditched the state, it is still not in the immediate interests of MRC, apparently.
According to the report, since the State of Maryland was unable to reach an agreement during yesterday's debates, and has run out of time to do so, the ball is now in the show's court. "A series of votes ended with the Senate refusing to agree to the House's terms, leading to a several-hour-long game of chicken," said the publication, "The next move belongs to House of Cards." What's more, the show's hired lobbyist, Gerard E. Evans, said he does not think the lawmakers realize what type of message they've sent to the film industry, and that he doesn't know which move House of Cards will make.
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