Cost of Hollywood talent now covered by tax incentive
LONDON – Ireland has redoubled its efforts to attract international film, TV and toon projects to its shores.
The Irish government has upped its tax breaks for production to 32% beginning in 2015, and extended it to include talent from outside the European Union — including U.S. stars — for their work in Ireland, bringing it in line with the U.K. incentives.
Earlier this year, the government announced it would extend the incentive to 2020.
James Hickey, the Irish Film Board chief exec, said, “This new measure will assist Irish producers in attracting foreign direct investment in the form of international feature films and television shows, which will assist in creating new Irish jobs within the sector.
“The enhancement of the Irish tax incentive for the film and television industry demonstrates the commitment of the Irish government to the future of the Irish film, television and animation sector, and Ireland’s creative industries.”
Irish minister for finance Michael Noonan said, “These productions are job rich and can often give a knock-on boost to the tourism sector. This extension will be subject to E.U. state-aid approval and it will be coupled with the introduction of a withholding tax.”
Recent shoots in Ireland include History’s “Vikings.” Upcoming shoots include Showtime’s “Penny Dreadful.”
Production activity across the film, TV and animation industry in Ireland in 2012 was valued at more than $243 million in terms of expenditure on local goods and services in Ireland. This repped an increase of 30% on 2011 figures.
In 2012, the IFB invested in 30 film and television projects, which led to $159 million being raised in foreign direct investment by Irish producers on IFB funded projects. $108 million of this was invested directly into the Irish economy through the purchase of local services and employment.
The audiovisual industry in Ireland, which generates revenue of more than $675 million, has created the equivalent of 6,500 full-time jobs.