Hollywood Loan-Out Corporations Face Uncertainty Amid Industry Alarm

Hollywood was thrown into panic when payroll company Cast & Crew announced that the California Employment Development Department (EDD) was scrutinizing loan-out companies, which are used by freelancers to manage their income and taxes. Although the EDD later clarified that it was not banning these entities, the incident highlighted the precarious nature of freelance work in the film and TV industry and the importance of loan-outs in providing financial flexibility and tax benefits to industry professionals.