What is the Canadian film or Video Production tax credit?

The Canadian Film or Video Production Tax Credit (CPTC) provides eligible productions with a fully refundable tax credit, available at a rate of 25 per cent of the qualified labour expenditure.

How does the film tax credit work?

The idea behind a film tax credit is pretty simple: by moving production to a state, you’ll be able to save money on taxes owed, or get some other perks in exchange for shooting on location there. Of course you may have to use a certain amount of local vendors to qualify, but every offer is different.

Which Organisations are responsible for administering tax credits in Canada?

The CRA is responsible for administering Canada’s tax laws, including the Income Tax Act.

How do I claim film tax relief?

Film tax relief is available for British qualifying films if they:

1. either pass the cultural test or qualify as an official co-production.
2. are intended for theatrical release.
3. have a minimum UK core spend requirement of 10\%, including those made under official co-production treaties.

What is the highest grossing Canadian movie?

It received a much more limited release in Canada. In 2010, Resident Evil: Afterlife grossed more than $280 million at the box office internationally and nearly $7 million domestic, making it the most successful production in Canadian film history.

What is the benefit of tax incentives for film financing?

Film and television tax incentives are a method by which governments attract productions to come to their state or country, thereby boosting the local economy; productions hire local crew, and purchase and rent local goods from secondary institutions such as restaurants, car dealerships, and generator rental companies.

What is a film subsidy?

State public funds (i.e. taxpayers’ money) are given to film production companies in the form of tax breaks to entice them to make movies in those states, hopefully bringing in added revenue. California’s film tax subsidy (up to $100 million per year) went into effect in 2009 to counteract other states that were …