Film Tax Credit Loans

To encourage UK film production activities, the Film Tax Relief (FTR), also commonly known as the Film Tax Credit, has been made available by the UK government for all British qualifying films. This applies to any budget level, allowing you to claim a cash rebate of up to 25% of the qualifying expenditure at the end of the company’s financial year.

There is no limit on the budget of the film or the amount of relief that is payable, however, the FTR is capped at 80% of the film’s core expenditure. You can then potentially claim a payable cash rebate of up to 25% of that amount. For more information, contact Buzz today.

Whilst it’s a generous Government incentive, it can take a long time to claim your Film Tax credit from HMRC due to their inflexible process. It can often be several months after production has completed to gain access to your Tax Credits. We understand that finding a straight-forward method of advance funding for your Film Tax Credit claim is often a crucial element of finalising film finance plans.

That’s where Buzz comes in, essentially providing you with a loan secured against your projected Film Tax Credit claim to help fund your film production. You simply then pay us back once HMRC has processed your Film Tax Relief claim.

Film Tax Relief is available for British qualifying films if:

-The film passes the cultural test or qualifies as an official co-production

-The film is intended for theatrical release

-At least 10% of the core costs occurred in the UK for pre-production, principal photography and post-production processes

The company must also be responsible for delivery of the completed film, be actively engaged in planning and decision making, whilst directly negotiating contracts, rights, goods and services.

The process is administered by the BFI (who are responsible for certifying the film as British), and HMRC (who review your claim with your corporation tax return). Helpful insights can be found on both the BFI website and HMRC website – which we recommend you research prior to making a claim.

Following an enquiry, once the contract has been signed and agreed upon, Buzz pays the advance loan straight into your bank. We try to do this as quickly as possible, typically being a couple of weeks. So far, our record is 3 days from enquiry to actioning payment.