Section 481 amended
After a long period of deliberation, it’s now official. Irish Minister for Finance Brian Lenihan has signed a Commencement Order approving changes in Section 481 that governs film taxation.
Under the amendments, the per project cap has been raised to €50m from €35m; the individual investor cap for investors in Irish film goes up to €50,000 per annum from the current €31,750, upon which there will be a 100% relief, compared to the current 80%.
The changes were tabled in the Finance Act 2008 and the Finance (No2) Act 2008. The Order was issued after getting approval from the European Commission.
Minister for Arts Martin Cullen said, “Ireland has now done what is essential to remain competitive in this crucial high-end inward investment industry. The investment pipeline for this year is promising and I believe that these adjustments to the tax investment regime will be the catalyst in securing those opportunities for Ireland. I believe that the provision will sustain and grow employment in this sector in the years ahead, grow our production capacities and help to embed this key creative industry.”
Irish Film Board Chairman James Morris said, “All European countries have tax incentives to support their screen based industries and the improvements to the Irish tax incentive now allows Ireland to compete on an equal basis. This is particularly important in the present economic climate given the clear direct employment generated by the audio visual sector and the opportunity to strategically develop Ireland’s screen based industries into a long-term growth sector as part of a new generation of export earners in the future.”
Did you enjoy reading this article? Please subscribe to our newsletter to receive more stories like this directly in your inbox.