26/11/2014 - 32% incentive comes into effect from 2015

The Irish Film Board held a briefing on 25 November to explain the new nuances of Section 481, an investor based tax incentive for film and television made in Ireland. Currently, projects can derive a benefit of up to 28% of their qualifying expenditure, and up to 30% on projects with an eligible expenditure level in excess of €30 million.  The benefit is based on the cost of EU cast and crew working in Ireland, and goods and services purchased in Ireland, up to a maximum value of 80% of the global budget.  The net benefit is made available to the production on the first day of principal photography or on the financial closing of the film. The incentive is guaranteed until December 2020.  There is a ceiling of €50 million on qualifying expenditure per project. 

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From 2015, subject to EU approval, Section 481 is amended with the effect of creating a new tax credit program offering up to 32%. The new incentive program provides a production company that falls within the Irish tax net with a tax credit based on Republic of Ireland expenditure on film and television activities in connection with a qualifying project. The credit is paid by the Irish Revenue Commissioners. It amounts to up to 32% of qualifying expenditure, on up to 80% of a project’s budget.

The benefit is based on the cost of ALL cast and crew, regardless of nationality, working in Ireland, and goods and services purchased in Ireland, up to a maximum value of 80% of the global budget.