‘Rust’ Producers Denied New Mexico State Film Tax Incentive As Alec Baldwin Trial Begins Next Week

Despite the filming location for Alec Baldwin’s infamously unfinished Rust occurring at the Bonanza Creek Ranch just outside of Santa Fe, the film’s producers, including Baldwin himself, have been denied a 1.6 million dollar New Mexico State tax incentive for undisclosed reasons.

As seen in documents obtained by AP, the New Mexico Film Office issued memo this past January approving the film’s eligibility to apply for the lucrative tax incentives. The denial of New Mexico film tax incentives marks yet another catastrophic break for the film. However, despite the denial of the large cash incentive, the application’s denial is likely the least of Rust producer and star Alec Baldwin’s worries, as he prepares to go on trial for the involuntary manslaughter of cinematographer Halyna Hutchins next week.

Baldwin continues to maintain his defense that while he was holding the loaded prop gun that killed Hutchins and injured Rust director Joel Souza, he did not pull the trigger, claiming that the gun firing was an equipment malfunction. An attorney representing Rust Movie Productions claims the tax incentive was to be used to finance a settlement between Rust producers and Hutchins’ widower, Matthew Hutchinson, along with her surviving son.

“The denial of the tax credit has disrupted those financial arrangements,” Rust Movie Productions’ attorney Melina Spadone said in a statement to AP. If proven guilty in next week’s trial, it appears Bladwin and other Rust producers may be forced to pay the settlement out of their own pockets.