Ireland’s Film Tax Incentive to Receive 8% Uplift

New Incentive Aimed at Supporting Local Feature Films

Ireland is set to receive an 8% uplift in its film tax incentive, aimed at supporting local feature films with Irish creative talent that are budgeted up to €20m (£16.7m).

Addressing Challenges Faced by Smaller Feature Film Projects

The 8% uplift has been introduced to address the significant challenges faced by smaller feature film projects. It is subject to European Union state aid approval.

Current Tax Incentive and Upcoming Changes

The current tax incentive allows film and TV productions to claim a 32% tax break on eligible expenditure up to €125m, providing the production company is an Irish resident or trading through an Irish branch or agency. The tax incentive applies to all eligible expenditure up to 80% of the total cost of production.

The 8% uplift will bring the Irish incentive in line with the UK’s Independent Film Tax Credit (IFTC), which was introduced at a rate of 40% for films budgeted under £15m, on 80% of qualifying spend. The IFTC can be claimed from April 1, 2025, assuming it is ratified into law by the UK’s new Labour government.

Quotes from Screen Ireland

“In an intensely competitive global industry, the fiscal incentive together with Screen Ireland investment, is vital in supporting Irish filmmaking and storytelling on screen, led by Irish creative talent,” said Désirée Finnegan, chief executive at Screen Ireland. ”These enhancements support the continued development of Ireland as a cultural powerhouse and a creative production partner on an international scale.”

Ray Harman, chair of the board of Screen Ireland, added: “The uplift in the tax incentive has significant potential to expand the depth and breadth of local industry filmmaking, continuing to build creative opportunities for local talent within the sector.”

Unscripted Production Tax Incentive Also Announced

Also announced in today’s Irish budget was the introduction of a 20% tax incentive for unscripted production, which is also subject to Eapproval. Screen understands this will be for unscripted TV production, with the government to clarify in the coming days.

Conclusion

The 8% uplift in Ireland’s film tax incentive is expected to have a positive impact on the country’s film industry, supporting local feature films and creative talent. The introduction of a 20% tax incentive for unscripted production is also expected to bring new opportunities to the sector.

FAQs

* What is the new 8% uplift in Ireland’s film tax incentive?
The 8% uplift is aimed at supporting local feature films with Irish creative talent that are budgeted up to €20m (£16.7m).
* What is the current tax incentive for film and TV productions in Ireland?
The current tax incentive allows film and TV productions to claim a 32% tax break on eligible expenditure up to €125m, providing the production company is an Irish resident or trading through an Irish branch or agency.
* When can the IFTC be claimed in the UK?
The IFTC can be claimed from April 1, 2025, assuming it is ratified into law by the UK’s new Labour government.