Commentary

D7.1280 Theatrical production tax credit relief

Corporate tax
Corporate tax | Commentary

D7.1280 Theatrical production tax credit relief

Corporate tax | Commentary

D7.1280 Theatrical production tax credit relief

For the latest New Development, see ND.2072.

A theatrical production company may claim a theatre tax credit in respect of any accounting period in which it has a surrenderable loss1. A company may surrender all or part of its surrenderable loss in an accounting period2. The company's trading loss is reduced by the amount surrendered for the theatre tax credit3.

The surrenderable loss is the lower of4:

  1.  

    (a)     the company's trading loss for that period in the separate theatrical trade, plus any unsurrendered loss brought forward (its 'available loss'); and

  2.  

    (b)     the available qualifying expenditure

In the first period of account in which the trade is carried on, the available qualifying expenditure is the lower of5:

  1.  

    (i)     the amount of the qualifying expenditure that is European expenditure (ie UK or EEA expenditure); and

  2.  

    (ii)     80% of the total qualifying expenditure

In any subsequent period of account, the available

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to TolleyLibrary or register for a free trial