This is the sort of thing that would put most self-supporting industries straight out of business. Nowadays, the major studios are mere subsidiaries of much larger corporations (Murdoch, Viacom etc) who obviously have the tax-aware nous to tolerate such silliness. But it's them that ultimately keep the industry, or at least the top end, alive and kicking.
p.s. a quick example of cynical Hollywood thinking as reported on various sites: take the impressive profits made by The Passion of the Christ, add the impressive nature-destruction of the big hit The Day After Tommorrow, and what do have?
That's right - a possible fx-heavy version of The Ten Commandments.