According to reports, Walt Disney Co. has won an extension of 30 years of a moratorium on ticket taxes in Anaheim, California. Reports say that it has assured to spend $1 billion in its two parks there in return.

It has been reported that Walt Disney Co has won a 30-year extension of a special tax exemption for those who visit the popular park Anaheim, California and will be investing $1 billion in its two parks at the same place.

As per reports, the City Council voted 3-2 in order to give the company an exemption from any entertainment tax in future that could be charged on tickets to the Disneyland Resort.

In 2017, constructions of new attractions will be started. Also, a parking garage and road improvements will be part of the construction so as to improve local traffic flow. According to an e-mailed statement from the council, the company has time until within six months of 2024's end for confirming the value of improvements.

As per the city, the theme parks independently offer over half of general fund revenue of Anaheim, which is $148 million per year in sales, hotel, property and business license taxes.

The measure also replaces an exemption that came into effect from 1996. According to an earlier statement from the city, Burbank, which is California-based Disney, would be getting tax relief for another 15 years, in case it is invested considerably over $1 billion.

Mayor Tom Tait was in favor of the tax exemption in 1996. According to him, "No matter what size business, you don't really get an exemption for future taxes. Imagine going to the IRS, saying, 'You know what, we want to be protected from any tax increases for 45 years".

According to statement by the city, the new policy would refund Disney in case of creation of entertainment tax.