You will be redirected back to your article in seconds

Canuck provinces ease off incentives

British Columbia, Saskatchewan rethink tax credit structures

Two Canuck provinces are rethinking their support for film and TV productions.

The government of Saskatchewan is ending its Film Employment Tax Credit program as part of the latest attempt to balance the budget. Many industryites fear the move could shut down production in the province entirely.

“Quite frankly, without the tax incentive, the province will be seen as an irrelevant location, and production will not take place,” said Vanessa Bonk, exec director of the Saskatchewan Motion Picture Industry Assn.

Up to now, Saskatchewan’s tax credit was one of the most competitive incentive programs, offering a credit of up to 55% of eligible labor costs. Popular sitcoms like “Corner Gas” and “Little Mosque on the Prairie” are among productions made with the help of the credit.

According to finance minister Ken Krawetz, the cut will create an annual saving of roughly $8 million.

Pics already approved for the tax credit will be able to finish production.

Meanwhile, British Columbia is phasing out the harmonized sales tax (HST) by April 1, 2013, leaving the province’s film industry under pressure — particularly after it lost out to Ontario in production income in 2011. B.C. raked in $1.19 billion compared to Ontario’s $1.27 billion.

The HST combines the 7% provincial sales tax (PST) with the 5% goods and services sales tax (GST) levied by the federal government.

Reclassifying the B.C. film and TV industry as a manufacturer would help the province keep its competitive edge as manufacturers are exempt from the PST. Ontario already refunds the PST to filmmakers.

“We are a manufacturing process,” said Cheryl Nex, vice chair of B.C.’s Motion Picture Production Industry Assn. “We are just manufacturing something different, something that gets exploited on every single screen media.”

More Film

  • Vivien Leigh

    Vivien Leigh Biopic in Works From 'Feud: Betty and Joan' Writers (EXCLUSIVE)

    Two Canuck provinces are rethinking their support for film and TV productions. The government of Saskatchewan is ending its Film Employment Tax Credit program as part of the latest attempt to balance the budget. Many industryites fear the move could shut down production in the province entirely. “Quite frankly, without the tax incentive, the province […]

  • Bill Nighy

    Film News Roundup: Bill Nighy, Jack Lowden to Star in Comedy 'Made in Italy'

    Two Canuck provinces are rethinking their support for film and TV productions. The government of Saskatchewan is ending its Film Employment Tax Credit program as part of the latest attempt to balance the budget. Many industryites fear the move could shut down production in the province entirely. “Quite frankly, without the tax incentive, the province […]

  • Busan: Director Kamila Andini on Balancing

    Busan: Director Kamila Andini on Balancing Motherhood and Filmmaking

    Two Canuck provinces are rethinking their support for film and TV productions. The government of Saskatchewan is ending its Film Employment Tax Credit program as part of the latest attempt to balance the budget. Many industryites fear the move could shut down production in the province entirely. “Quite frankly, without the tax incentive, the province […]

  • VidAngel logo

    VidAngel Declares Bankruptcy to Put Copyright Fight on Hold

    Two Canuck provinces are rethinking their support for film and TV productions. The government of Saskatchewan is ending its Film Employment Tax Credit program as part of the latest attempt to balance the budget. Many industryites fear the move could shut down production in the province entirely. “Quite frankly, without the tax incentive, the province […]

  • Morgan Freeman Colin Powell

    Morgan Freeman to Play Colin Powell in Biopic

    Two Canuck provinces are rethinking their support for film and TV productions. The government of Saskatchewan is ending its Film Employment Tax Credit program as part of the latest attempt to balance the budget. Many industryites fear the move could shut down production in the province entirely. “Quite frankly, without the tax incentive, the province […]

  • Channing Tatum

    Channing Tatum Pulls Sexual Abuse Movie, Cutting Ties With Weinstein Company

    Two Canuck provinces are rethinking their support for film and TV productions. The government of Saskatchewan is ending its Film Employment Tax Credit program as part of the latest attempt to balance the budget. Many industryites fear the move could shut down production in the province entirely. “Quite frankly, without the tax incentive, the province […]

  • DSCF3404.raf

    Los Angeles Feature Film Production Increases 7.6% in Third Quarter

    Two Canuck provinces are rethinking their support for film and TV productions. The government of Saskatchewan is ending its Film Employment Tax Credit program as part of the latest attempt to balance the budget. Many industryites fear the move could shut down production in the province entirely. “Quite frankly, without the tax incentive, the province […]

More From Our Brands

Access exclusive content