The Government would postpone until 2028 the elimination of INCAA’s funds following strong criticism of the bill
Public pressure from the audiovisual sector appears to have led, at least provisionally, to a shift in the handling of one of the most controversial points of the Labor Reform bill. In the framework of last-minute negotiations between the ruling coalition and segments of the dialoguing opposition, it has reportedly been agreed to postpone until January 1, 2028 the elimination of the earmarked allocations that fund national cinema and also affect the public radio and television system. However, there is still no definitive confirmation, and the text could undergo changes during the parliamentary debate.
According to various media outlets that closely followed the talks, including La Nación, the new wording would represent a departure from the original draft, which provided for the immediate elimination of the resources that currently sustain the National Institute of Cinema and Audiovisual Arts (INCAA). These funds primarily come from a 10% tax on cinema tickets, a 10% levy on the sale and rental of videograms — now of limited relevance — and 25% of the revenue collected by the National Communications Entity (ENACOM), considered the most significant source.
Under the version reportedly sent to the Senate, Article 210 would establish that “as of January 1, 2028, the INCAA shall be financed exclusively through the appropriations annually assigned for that purpose in the General Budget Law of the National Administration.” In practical terms, this would shift the funding of the film promotion system to annual budgetary decisions, subject to the discretion of the sitting Executive. Nonetheless, the final content will depend on the article-by-article debate and any amendments introduced in Congress.
Representatives of the audiovisual sector warn that, should this scheme take effect in 2028, it could effectively suffocate the promotion system and lead to the virtual disappearance of Argentine cinema as it currently operates. They argue that the loss of earmarked allocations would eliminate predictability and financial autonomy, two historic pillars of the national production model.
Criticism is not limited to cultural considerations. Various stakeholders contend that the film industry generates thousands of direct and indirect jobs, stimulates production chains, and contributes to regional economies; as such, a structural funding cut would have broader economic consequences. In this regard, they question what they describe as a reductionist view of culture, seen solely as expenditure rather than as a productive activity.
At the same time, there are internal concerns related to current management. In a context in which production is reportedly almost at a standstill, several groups point to a lack of sufficient clarity regarding the use of INCAA funds, fueling demands for greater transparency and concrete definitions regarding audiovisual policy.
If the postponement is confirmed, throughout the remainder of 2026 and all of 2027 the agency would maintain its current revenue scheme and autonomous administration of resources, unless new legislative decisions alter that framework. However, uncertainty over the final wording and the outcome of the parliamentary debate keeps the dispute open.
In this context, sector organizations are maintaining the demonstration called for Wednesday the 11th at 3 p.m., with a gathering in front of the Gaumont Cinema, at 1635 Avenida Rivadavia, while awaiting concrete decisions on what they consider a strategic issue for the future of Argentine audiovisual production.