Taxation of film production companies

Produced by Tolley in association with Will Sweeney
Corporation Tax
Guidance

Taxation of film production companies

Produced by Tolley in association with Will Sweeney
Corporation Tax
Guidance
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Taxation of film production companies

The following tax relief for film production companies that applied prior to 1 January 2024 on which date the revised relief for audio-visual content known as the audio-visual expenditure credit (AVEC) became available, see the Audio visual expenditure credit (AVEC) ― key provisions guidance note. The film tax relief detailed below is closed for productions that start principal photography from 1 January 2024 and will close for all productions from 1 April 2027.

Film production companies (FPCs) are subject to a special regime for tax purposes. The legislation has two parts as follows:

  1. the first part applies to all film production companies regarding the recognition of income and costs plus the treatment of losses, which is a different regime to that of other trading companies

  2. the second part provides for an additional tax deduction or repayable tax credit to the company where a qualifying film is produced

For details of the film tax credit, see the Film production company tax credits guidance note. Film production companies have

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Will Sweeney
Will Sweeney linkedinicon

Senior R&D Manager, Menzies LLP , Corporate Tax


Will Sweeney is a Senior R&D Manager in the Innovation & R&D team at Menzies where he looks after many of their largest clients. He has extensive experience of helping entrepreneurial clients to optimise their tax position throughout the innovation lifecycle by advising on issues including R&D tax credits, RDEC, Creative Sector reliefs and the Patent Box.In addition to his tax knowledge, Will started his career as an engineer and has worked with numerous technology, manufacturing and property sector clients. He brings a wealth of industry experience to his clients, helping him to understand the specific technical details of work undertaken by clients.Will contributes to TolleyGuidance Corporate module.

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