VALUE OF "SECTION 481" INCENTIVE INCREASED TO UP TO 28%

We understand that film and television producers need finance, but you also need a funding source that you can rely on. In 1993 Ireland invented the world's first tax based incentive for film and television. Sixteen years later and "Section 481" is as reliable and user-friendly as ever. But now it has been improved.....now it's worth up to 28%.....and as always you get the money up front.

What is Section 481?
Ireland's spend-based filming tax incentive worth up to 28% of eligible spend paid up front in cash on the 1st day of principal photography, net of all fees and requiring no bank discounting.

What is it NOT?
Section 481 is not a transferable or refundable tax credit. S481 does not leave you waiting months or years for payment. S481 doesn't require bank discounting. S481 doesn't need in-territory companies to buy your credit or rebate.

Is there a cap?
Yes, the maximum budget per project against which Section 481 finance can be raised is EUR50m. There is no annual cap on the total amount of Section 481 availably to incoming production.

What projects qualify?
Feature Films, Television Drama, Creative Documentaries, and Animated film and television.

How do I access Section 481?
It's simple, you must partner with an Irish co-producer as only they can access Section 481. Please contact us for more information.

What costs are eligible?
All cast and crew with a European Union passport costs are eligible, for the work they carry out in Ireland. All goods and services purchased and used in Ireland. Click here for a full list of European Union Member States.

Can I crew up locally?
Yes! Ireland has a large and experienced crew base, and your Irish co-producer can look after crewing up for your production. Please follow this link to the Irish Film Board crew listing: Crew & Facilities Database for more information.

Tax Exemptions for Individuals
Individuals may locate in Ireland and enjoy tax-free income from their works under this scheme, known as ‘artists’ exemption’.

It can apply to writers, including scriptwriters, visual artists and composers.
Where individuals become resident in Ireland they are entitled, on making a claim, to have the earnings arising to them from the publication, production or sale of books, screenplays, plays and musical compositions, disregarded for tax purposes where the work or works involved are original and creative and have cultural or artistic merit.

The scheme guidelines are available on request from:
Michael Howard, Ext: 24106
Revenue Commissioners, Dublin Castle, Dublin 2
Tel +353 1 679 2777 Fax +353 1 679 9287
http://www.revenue.ie


Taxation Agreements
Irelands EU approved 10% tax rate has proved an attractive stimulus to foreign investment in Ireland for many years. It applies to manufacturing companies (including film production companies), international finance services companies in the Custom House Docks Area of Dublin (including film finance companies) and companies, which trade from Shannon Free Zone (including film distribution and licensing companies).

10% rate applies to income after deduction of trading expenses.

No withholding tax on dividends paid by Irish companies.
Certain double taxation agreements permit foreign owners to receive the after tax profits without any further tax payable by them in their home country or allows them to defer further taxation.

Where a double taxation agreement applies, it provides that any dividends, interest or royalties paid to an Irish company suffers minimal, if any, withholding tax (See below under Double Taxation Agreements).

The tax rate payable by companies on Irish profits is at present 20%. It reduces to 16% in 2002 and to 12.5% for 2003 onwards

Ireland has entered into comprehensive double taxation agreements with:
Australia, Austria, Belgium, Bulgaria, Canada, China, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Hungary, India, Israel, Italy, Japan, Korea (Rep. of), Latvia, Lithuania, Luxembourg, Malaysia, Mexico, Netherlands, New Zealand, Norway, Pakistan, Poland, Portugal, Romania, Russia, South Africa, Spain, Sweden, Switzerland, United Kingdom, United States of America, Zambia.


Co-production Treaties
The Government of Ireland has signed Co-Production treaties with both the Government of Canada and the Government of Australia.

Most recently Ireland ratified the European Convention on Cinematography which came into force in August 2000.

For a Co-production Application Form from The Irish Film Board - Click here