Dáil Éireann Debate, Wednesday - 14 October 2015
10. Deputy Catherine Murphy asked the Minister for Finance the differences between the old and new sections 481 for film; the body that administers the new scheme; if he is satisfied that the new scheme is working correctly; and if he will make a statement on the matter. [35837/15]
View answerFollowing an economic impact assessment of the film relief, published in December 2012, and in line with the Programme for Government commitment to 'reduce, cap or eliminate income tax reliefs that benefit high income individuals', I made a number of changes to the film tax relief scheme. Primarily, these changes amended the scheme so that instead of providing for tax relief at an individual's marginal rate for an investment made in a qualifying company, a corporation tax credit is paid to a film producer company.
A Certificate is issued by the Revenue Commissioners but both the Minister for Arts, Heritage and the Gaeltacht and the Revenue Commissioners have specific responsibilities in relation to the certification process. The Minister for Arts, Heritage and the Gaeltacht has responsibility to ensure that it is appropriate for the Revenue Commissioners to consider the issue of a Certificate for a film, having regard to -
- The categories of film eligible for certification and
- the contribution a film will make to either or both the development of the film industry in the State and the promotion and expression of Irish culture.
The Revenue Commissioners have responsibility to ensure that all other aspects of the project, including the financial aspects, have the potential to satisfy the requirements of the law. The Revenue Commissioners will not issue a Certificate unless they have received an authorisation from the Minister for Arts, Heritage and the Gaeltacht and they are satisfied with the other aspects of the proposal. Notwithstanding the dual roles, there is a simplified application procedure so that the producer/promoter has to deal with only one body.
The new scheme has been in place since January 2015. The operation of the scheme is monitored by my Department and the Revenue Commissioners, and I am satisfied that the scheme is working correctly and provides better targeted funding for the production of films.
