We are not accountants and our IP team in particular goes slightly pale as soon as the word ‘tax’ crops up.  However, when it concerns IP, we are willing to listen and read up in order to alert our IP readers to new tax initiatives!

The Finance Act 2013 recently received Royal Assent and implements the new animation tax relief with retrospective effect to expenditure incurred by film makers and animators after April 1 2013.  It is hoped that the tax relief will promote the production of significant film and animation in the UK.

Limited-budget films are entitled to either:

Other films are entitled to either:

For all films, the maximum amount that can be claimed is the lower of the enhanceable expenditure for that accounting period or the amount of the loss.

Animation Tax Relief

Qualifying companies can claim either:

A further tax relief aimed at video games development (and therefore relevant for MANY of our IT clients) is currently under review.

Watch this space….