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What are the industrial tax discounts, and how do they operate?

Innovation helps to bring about development within the existing system after the introduction and implementation of new ideas and technologies, with the aim of making processes more efficient to increase the delivery of goods and services in the country.

Economies need to be innovated to meet their growth potential, innovation increases productivity leading to greater availability, which means that the size of goods and services provided is improved and as a result, the economy grows.

Recognizing the importance of innovation in the economy, HM Revenue & Customs has introduced a program to help grow the entertainment and arts industry by allowing them to be flexible through tax incentives. The campaign was launched in the form of 'The Creative industry tax relief' which aims to provide opportunities for the growth of the arts industry, helping them to achieve significant reductions in their tax-free profits and benefit from tax credits when they lose.

Tax exemption for the arts sector

The tax exemption for the arts sector is a combination of 8 tax sources that provide tax exemptions for eligible companies. While estimating tax-free profits, eligible companies may be allowed to claim taxable income in some cases.


Assistance is provided by increasing the allowable costs and is an important way to work on these tax returns. Qualified companies can convert all or all of their losses into revenue and if the business suffers. These tax cuts can be difficult and demanding can be a problem if not done properly, it is always advisable to talk to a Business Accountant, Tax Accountant or affordable accounting services in Canada for further guidance.

The suitability of your company


Your company reserves the right to claim tax exemption from the arts industry if your company:

• Responds to company taxes
• Grand Builder and Builder of:
• Movies
• Children's TV Shows
• Animated shows
• Video games
• Orchestral Concerts
• Art or museum exhibitions


Special tax laws can apply to companies seeking tax exemption in the arts industry, these rules apply to all:

The companies involved in filmmaking no matter how they make the films are not intended to be released.
• Companies directly involved in the production of TV shows and animated shows.
• Companies in the video game production industry.
• Orchestral production and theater companies working to get help.
• Galleries and museums need to be released for display purposes.


Cultural testing


Companies planning to apply for a tax in the arts industry must ensure that films, TV programs, animations or video games are eligible for cultural testing or meet the requirements of a world-renowned production agreement that separates their product such as British film, British program or British video game. Formal certification is required to qualify for tax cuts in the arts industry. On the other hand, exhibitions, theaters and orchestras are free to apply and are subject to cultural testing.


The British Film Institute (BFI) is responsible for issuing temporary (incomplete production certificates) or final (full production) certificates on behalf of the Department of Digital, Culture, Media and Sport (DCMS). You can allow your charted professional accountant of Ontario to manage the audit process and ensure time-saving with any complex issues.

How to apply for a FTR?


Film Tax Exemption (FTR) can be claimed on film if:

• You are eligible for a cultural test or pass as an official product of the partnership
• Designed for theater production
• Jobs in the UK contribute at least 10% of its total production costs
• Its main images started on January 1, 2017 or later
• How do you install ATR?

Animation animation (ATR) help may be required in animation program if:
• Ready for cultural testing or accepted as a legitimate product of cooperation.
• Designed for streaming
• If the total value used for animation reaches 51%
• Jobs in the UK contribute at least 10% of its total production costs
• Photos sent together can be treated as a single application.

ATR cannot be claimed by a company if its system:

• For advertising or promotional purposes
• Broadcast news, current news or talk shows
• Is it a game show, a different one, or a similar show?
• Is it a competition or a competitive show?
• Includes theater and art or air theater.
• Produced for training or training
• How to apply for an HTR?
• Your company reserves the right to demand exemption from a large television tax (HTR) if
• Their program is suitable for cultural testing and serves as a legitimate product of cooperation
• Their program is designed for broadcasting
• Their program is Drama, sitcom or documentary
• Jobs in the UK contribute at least 10% of their total production costs to their program
• Production costs of the system per hour of product length are more than one million per hour on average
• Program time is greater than 30 minutes
• Integrated systems can be treated as a single system.

Your company cannot claim HTR if:

• This is a program designed for advertising or promotional purposes.
• The program broadcasts news, current affairs or speeches.
• The program broadcasts a game show, a different program or a similar program.
• This program is a competitive or competitive program.
• The program includes theater and arts or live events.
• This is a program designed for training or teaching.

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