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Tax break helps NYC lure 'The Tonight Show' home from Los Angeles

FILE- In this Feb. 20, 2014 photo provided by NBC, host Jimmy Fallon applauds first lady Michelle Obama on the set of “The Tonight Show Starring Jimmy Fallon,” in New York. Aside from Fallon wanting to do the show in New York City, NBC could have viewed a 30 percent tax break as incentive to bring the show back from the West Coast after 40 years. The tax credit, designed to lure certain types of programming to New York, can potentially save the network $20 million dollars a year. (AP Photo/NBC, Lloyd Bishop, File)

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FILE- In this Feb. 20, 2014 photo provided by NBC, host Jimmy Fallon applauds first lady Michelle Obama on the set of “The Tonight Show Starring Jimmy Fallon,” in New York. Aside from Fallon wanting to do the show in New York City, NBC could have viewed a 30 percent tax break as incentive to bring the show back from the West Coast after 40 years. The tax credit, designed to lure certain types of programming to New York, can potentially save the network $20 million dollars a year. (AP Photo/NBC, Lloyd Bishop, File)

NEW YORK, N.Y. - The Tonight Show returned to New York this week, ending its four decades stop on the West Coast.

New host Jimmy Fallon is a New Yorker who says he wants the excitement of the nation's largest city to permeate his show. But there's another key reason for the show's return home: an unconventional New York State tax credit that could potentially save NBC more than $20 million a year.

The language of the 30 per cent credit is remarkably specific, applying to shows that film in front of a studio audience and spent at least five years elsewhere.

NBC says it helped make the move possible. Similar credits have helped TV and movie productions thrive in the state but experts are divided about whether it's worth it.

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