Creative industry tax reliefs are a group of eight Corporation Tax reliefs that allow qualifying companies to claim a larger deduction, or in some circumstances claim a payable tax credit when calculating their taxable profits.
This programme of tax relief is designed to promote culturally-relevant productions in the UK, to bring investment into UK productions, and also to ensure that the UK retains a critical mass of creative skill and infrastructure.
To apply companies need to:
To qualify for creative industry tax reliefs, all films, television programmes, animations, or video games must pass a cultural test or qualify through an internationally agreed co-production treaty. In all cases, formal certification is required to qualify.
Theatrical productions, orchestral concerts, and exhibitions don’t have to apply for and pass a cultural test.
This aims to promote the sustainable production of culturally British films. The relief is available when films either pass a cultural test or be a qualifying co-production and must be intended for theatrical release. At least 10% of the total production costs must relate to activities in the UK.
Each film may make several claims during the production process.
The relief is available for animation programmes that pass the cultural test or qualify as an official co-production and are intended for broadcast.
Each programme may make several claims during the production process.
This aims to promote the sustainable production of culturally relevant high-end television programmes in the UK.
The relief is available for programmes if they pass the cultural test or qualify as an official co-production and are intended for broadcast. The programme needs to be a drama, comedy or documentary with a slot length of more than 30 minutes.
At least 10% of the total production costs should relate to activities in the UK, with the average qualifying production costs per hour being more than £1 million per broadcast hour.
Each programme may make several claims during the production process.
This aims to encourage the production of culturally British children’s television programmes in the UK. It is an extension of high-end television tax relief and animation relief, but is specifically aimed at the producers of children’s television programmes. CTR is not subject to the £1 million per programme hour threshold or the 30 minute slot length that applies to high-end television programmes.
The relief is available for British qualifying children’s programmes if they pass the cultural test or qualifies as an official co-production and are intended for broadcast. The programme must be for children, with the primary audience expected to be under the age of 15. At least 10% of the total production costs relate to activities in the UK.
Each programme may make several claims during the production process.
This aims to promote the sustainable production of culturally relevant video games in the UK. It is aimed directly at companies producing video games.
The relief is available for British qualifying video games if the video game is intended for supply and at least 25% of the core expenditure is incurred on goods or services that are provided from within the European Economic Area (EEA).
Each video game may make several claims during the production process.
The relief is available for British theatrical production companies if their theatrical production is to played before a live audience of paying members of the general public, or the production is for educational purposes. At least 25% of the total production costs relate EEA expenditure.
Theatrical production companies are not required to pass a cultural test to be eligible to claim tax relief.
Each production may make several claims.
A qualifying orchestral concert is one which is performed by instrumentalists in an orchestra, ensemble, group or band consisting of a minimum of 12 instrumentalists. The majority of the instruments shouldn’t be electronically amplified and the instrumentalists must be the primary focus of the concert. The concert should be for a paying public or for educational purposes and there should be a minimum of 25% EEA expenditure.
Orchestral production companies are not required to pass a cultural test to be eligible to claim tax relief.
This is available to qualifying companies that put on an exhibition, a curated public display of an organised collection of objects or works which are considered to be of scientific, historic, artistic, or cultural interest. A single object can also constitute an exhibition.
Museums and Galleries are not required to pass a cultural test to be eligible to claim tax relief.
