The Daniels Land $20 Million California Tax Credits for Next Film After ‘Everything Everywhere All at Once‘ Triumph

In a major boost for innovative cinema, the acclaimed directing duo known as The Daniels—Daniel Kwan and Daniel Scheinert—have secured approximately $20 million in California tax credits for their highly anticipated next project. This funding windfall comes on the heels of their Oscar-sweeping success with Everything Everywhere All at Once, underscoring the state’s aggressive push to keep groundbreaking filmmakers rooted in Hollywood’s backyard.

The announcement, made through the California Film Commission, highlights a strategic investment in the kind of bold, genre-bending storytelling that captivated global audiences and earned seven Academy Awards, including Best Picture, for Everything Everywhere All at Once. With this infusion of film funding, The Daniels are poised to continue their streak of multiverse-spanning creativity, potentially bringing even more jobs and economic ripple effects to the Golden State.

California’s tax credit program, which allocates up to $330 million annually to qualifying productions, has become a cornerstone of the industry’s recovery post-pandemic. For The Daniels, this isn’t just financial support—it’s a vote of confidence in their ability to deliver culturally resonant films that challenge conventions and draw massive viewership.

The Daniels’ Meteoric Rise Fueled by ‘Everything Everywhere All at Once’ Success

The journey of The Daniels to this pivotal funding moment is nothing short of a cinematic fairy tale. Daniel Kwan and Daniel Scheinert, who met while studying at Emerson College, first gained notice with their 2016 feature debut, Swiss Army Man, a quirky dramedy starring Daniel Radcliffe that blended absurd humor with profound themes of friendship and humanity. But it was Everything Everywhere All at Once in 2022 that catapulted them into the stratosphere of Hollywood elite.

Released amid the uncertainties of the COVID-19 era, the film—produced by A24 on a modest $25 million budget—exploded into a cultural phenomenon. It grossed over $143 million worldwide, making it A24’s highest-grossing release ever and a beacon for independent cinema. Critics hailed its inventive narrative, which follows Evelyn Wang (Michelle Yeoh in an Oscar-winning performance) as she navigates infinite realities to save her family and the multiverse. The movie’s blend of action, comedy, sci-fi, and heartfelt family drama resonated deeply, earning a 94% approval rating on Rotten Tomatoes and sparking endless discussions on representation, especially for Asian American stories.

At the 2023 Oscars, Everything Everywhere All at Once dominated with wins for Best Picture, Best Director (The Daniels’ first), Best Actress, Best Supporting Actor (Ke Huy Quan), Best Supporting Actress (Jamie Lee Curtis), Best Original Screenplay, and Best Film Editing. This sweep not only validated their vision but also positioned them as the new torchbearers for innovative filmmaking. “We wanted to make something that felt like a love letter to the chaos of life,” Kwan reflected in a post-Oscar interview with Variety. “The support we’ve received has been overwhelming, and this tax credit is a testament to that ongoing partnership with California.”

Behind the scenes, The Daniels’ collaborative style—rooted in music video directing for artists like OK Go—infuses their work with kinetic energy and visual flair. Their prior shorts and videos amassed millions of views, building a grassroots fanbase that translated into the grassroots buzz for Everything Everywhere All at Once. Now, with this $20 million boost, they’re leveraging that momentum to expand their oeuvre, promising a project that could redefine their legacy even further.

California’s Tax Credit Initiative: Bolstering Film Funding Amid Industry Shifts

California‘s film and television tax credit program, established in 2009 and expanded in 2014, has evolved into one of the most robust incentives in the U.S. to combat runaway production—the exodus of shoots to tax-friendly locales like Georgia, New Mexico, and Canada. The program offers up to 25% in non-refundable tax credits on qualified spending for productions that film primarily in the state, with allocations divided between independent films (like those from The Daniels) and more mainstream TV and features.

In the latest round, announced in late 2023, the California Film Commission awarded $288 million in tax credits to 118 projects, generating an estimated $2.5 billion in direct spending and supporting over 35,000 jobs. For Everything Everywhere All at Once, which qualified for $14.5 million in credits during its production, the program was instrumental in keeping the shoot in Los Angeles despite budget constraints. “These credits are a lifeline,” said Film Commissioner Amy Lemisch in a statement. “They ensure that California remains the epicenter of storytelling, attracting talents like The Daniels who bring fresh perspectives.”

The $20 million allocation to The Daniels’ unnamed project marks one of the largest single awards in the independent film category this cycle. To qualify, productions must spend at least 60% of their budget in California on local hires, vendors, and locations—criteria that Everything Everywhere All at Once exceeded by filming in the San Gabriel Valley and Los Angeles, authentically capturing its immigrant family dynamics. Economically, every dollar in tax credits generates about $8.50 in economic activity, according to a 2022 state audit, including tourism boosts from iconic filming sites.

Yet, the program isn’t without controversy. Critics argue it favors big-budget spectacles over smaller voices, though expansions in 2021 prioritized diverse and underrepresented creators. The Daniels’ project, described vaguely as a “genre-blending narrative with multiversal elements,” aligns perfectly with the program’s goal of fostering innovation. As Hollywood grapples with strikes, streaming wars, and AI disruptions, these tax credits represent a stabilizing force, ensuring California doesn’t lose its creative edge.

• Key Stats on California’s Program: Since inception, over $3.3 billion in credits issued, supporting 1,200+ projects.
• Job Creation: 200,000+ positions filled, from grips to post-production artists.
• Diversity Focus: 40% of recent awards to projects led by women or minorities.

Industry insiders note that without such film funding, talents like The Daniels might decamp to Atlanta, where Georgia’s uncapped 30% credit lured Marvel’s Black Panther. “California’s commitment is paying off,” said entertainment economist Stephen Follows. “Projects like this not only create jobs but elevate the global profile of our industry.”

Unveiling the Next Chapter: What We Know About The Daniels’ Upcoming Project

While details on The Daniels’ next film remain under wraps, the $20 million California tax credits approval offers tantalizing clues about its scope and ambition. Sources close to the production indicate it will be an original screenplay penned by Kwan and Scheinert, echoing the personal, high-concept style of Everything Everywhere All at Once. Expect a mix of emotional depth, visual spectacle, and boundary-pushing themes—perhaps exploring identity, technology, or existential dilemmas in a fractured world.

Filming is slated to begin in mid-2024, with principal photography centered in Los Angeles and surrounding areas to maximize the tax credit benefits. The budget, estimated at $50-70 million, would allow for A-list talent and cutting-edge effects, building on the practical-yet-innovative VFX that wowed audiences in their previous hit. Michelle Yeoh, who became a household name post-Oscar, is rumored to be in talks for a role, though nothing is confirmed.

The project’s approval process involved rigorous vetting by the Film Commission, which scored it highly for economic impact and creative merit. “This film has the potential to be another game-changer,” noted a commission spokesperson. “The Daniels have proven they can turn modest resources into monumental achievements.” Unlike franchise-driven blockbusters, this independent venture highlights the viability of auteur-driven stories in an era dominated by IP reboots.

Contextually, The Daniels’ follow-up arrives at a inflection point for cinema. Post-Everything Everywhere All at Once, they’ve been selective, turning down superhero gigs to focus on passion projects. Their next film could address timely issues like digital overload or cultural displacement, much like how their Oscar winner tackled generational trauma. Early concept art leaks (quickly retracted) suggest vibrant, reality-warping visuals, hinting at another multiverse odyssey without retreading old ground.

1. Production Timeline: Pre-production underway; shoot starts summer 2024.
2. Cast Speculation: Potential returns for Yeoh, Quan; new faces like rising stars from diverse backgrounds.
3. Technical Innovations: Emphasis on practical effects blended with CGI, per The Daniels’ signature style.

As buzz builds, fans are already theorizing on social media, with #DanielsNextFilm trending. This funding ensures the project stays in California, preserving the local flavor that made Everything Everywhere All at Once so authentic.

Hollywood Buzz: Reactions from Peers and Experts on the Funding Milestone

The news of The Daniels’ $20 million tax credits has ignited excitement across Hollywood, with peers and analysts praising it as a win for creative risk-taking. A24, the studio behind Everything Everywhere All at Once, issued a statement: “We’re thrilled to continue our collaboration with visionary directors like The Daniels. This funding solidifies their next chapter as a cornerstone of independent cinema.”

Michelle Yeoh, whose career renaissance owes much to the duo, tweeted: “So proud of my directors! Can’t wait to see what wild worlds they create next. #EverythingEverywhere.” Industry heavyweights like Jordan Peele, whose Get Out similarly blended genres, called it “a beacon for bold storytellers.” Peele told The Hollywood Reporter, “In a town obsessed with formulas, The Daniels remind us why we fell in love with movies—innovation and heart.”

Experts weigh in on the broader implications. Film finance consultant Linda Obst noted, “This allocation shows California’s evolving strategy: prioritizing films with cultural cachet over sheer volume. Everything Everywhere All at Once proved that diverse narratives can be commercially explosive, and this funding doubles down on that.” Data from the Motion Picture Association supports this, showing diverse casts boost box office by 20-30% globally.

However, not all reactions are unanimous. Some indie producers argue the program skews toward established names, sidelining newcomers. “It’s great for The Daniels, but where’s the support for first-timers?” questioned one anonymous filmmaker. Still, the consensus is optimistic, with projections that the project could generate $100 million+ in revenue, mirroring its predecessor’s trajectory.

On the economic front, unions like IATSE applaud the job creation. “These credits mean steady work for our members,” said union rep Rebecca Rhine. With streaming platforms like Netflix expanding California productions, this funding aligns with a resurgent local economy, where film contributed $28 billion in 2022.

Looking Ahead: How This Funding Shapes California’s Film Landscape and Beyond

As The Daniels gear up for their next venture, this $20 million infusion signals a bright future for California‘s film industry. By anchoring innovative projects like this, the state is not only retaining talent but also fostering an ecosystem where creativity thrives amid economic pressures. Expect ripple effects: more diverse hires, sustained VFX hubs in the Bay Area, and a competitive edge against rival incentives.

For The Daniels, the stakes are high. Their ability to deliver another hit could inspire a wave of original content, challenging the superhero fatigue plaguing multiplexes. Industry forecasts suggest 2024-2025 will see a 15% uptick in indie releases, buoyed by such film funding. Globally, Everything Everywhere All at Once‘s success opened doors in Asia and Europe; their follow-up could amplify that, promoting cross-cultural exchanges.

Policy-wise, California’s program faces renewal debates in 2025. Advocates push for expansion to $500 million annually, citing post-strike recovery needs. If successful, The Daniels’ project could serve as a case study, demonstrating ROI through jobs, tourism, and prestige. As Scheinert put it in a recent panel: “We’re just getting started. This credit lets us dream bigger, for stories that matter.”

In the end, this milestone reaffirms Hollywood’s enduring allure: a place where underdogs like The Daniels can secure tax credits, fuel imagination, and keep the magic of movies alive in California. Watch this space—the multiverse is expanding once more.