Improved Tax Incentive To Create Growth And Jobs For The Audio Visual Industry
Major improvements to the Irish tax incentive for film and television, Section 481, were written into Irish and European legislation this month. As a result Ireland's spend-based filming tax incentive is now worth up to 28% of qualifying expenditure in the country, ensuring Irish producers are in a strong position to raise finance for local films and to co-produce internationally.
Section 481 has been improved in order to create growth and jobs in the Irish audiovisual industry and to restore the competitiveness of Ireland as an international film and television location.
Section 481 is unique because film and television productions benefit from the financial incentive on the first day of principal photography or financial closing, which means that producers require no bank discounting. It's also important to note that Section 481 is not a transferable or refundable tax credit which can take months or years to pay out.
Section 481, is available to feature film, television drama, documentaries and animated film and television productions with an Irish producer attached. Cast and crew fees for those with a European Union passport count as eligible spend for the work they carry out in Ireland, along with all goods and services purchased and used in Ireland. There is a €50 million cap per project on eligible expenditure.
Ireland is a signatory to the European Convention on Cinematographic Co-Production and has bilateral co-production treaties with Canada, Australia and New Zealand.