Changes to the Refundable Tax Offset will encourage more large-scale film productions to shoot in Australia, creating jobs and opportunities in the creative industries, Minister for Revenue and Assistant Treasurer, Senator Helen Coonan and Minister for the Arts and Sport, Senator Rod Kemp, announced today.
"A technical anomaly in the film tax offset will be removed, meaning more productions can claim the tax offset, ultimately acting as an incentive for these productions to be based in Australia," Senator Coonan said.
The amendment will ensure that large-scale Australian films are not disadvantaged compared to international productions in accessing the benefits of the refundable tax offset.
To access the Refundable Tax Offset film producers will have to satisfy the Minister for Arts and Sport that they have the correct certification, that investors haven't already claimed 10BA benefits, and that the film hasn't received finance from the Film Finance Corporation Australia.
"Australia has been the base for some very large scale film productions recently including the Matrix Trilogy and three Star Wars films, both providing jobs for local people involved in the creative industries and showcasing the wealth of talent and resources we have in Australia," Senator Kemp said.
The changes will allow films to access the film tax offset where provisional 10BA film certification has been granted but investors have not claimed any 10BA benefits.
"Currently film producers routinely seek provisional 10BA film certification as the first stage in raising funds for a film concept without knowing whether or not a foreign studio will fund the project," Senator Coonan said.
"But this certification currently causes films to be ineligible for the film tax offset regardless of whether or not investors have accessed 10BA benefits."
The offset changes will ensure the Minister for Arts and Sport has the power to withdraw a provisional certificate at the request of the certificate holder.
The changes will apply from 4 September 2001, the effective start date of the film tax offset.