Cash Rebates -
Malta has attractive financial incentives applicable to the film industry. Productions which satisfy a cultural test can benefit from a rebate up to 27%. Qualifying productions are required to present a provisional application to the Malta Film Commission including a detailed projection of the Malta budget for the production. The rebate is given once filming is complete. Feature film and television productions, mini-series, animation and documentaries are all eligible for the incentives, provided that they are at least partially produced in Malta. Value added tax in Malta stands at 18% and is fully refundable.
Malta Co-Production Fund -
The main purpose of this fund is to encourage collaboration between Maltese and foreign companies to produce Feature film, Television film or Television Series or Mini-Series, Animation, Creative documentary, Transmedia and cross-media productions intended primarily for cinema release/broadcast and suitable for international distribution . The fund aims to grow and further develop the Maltese film Industry. It will also be a boost for the country’s economy, since qualifying projects have to be filmed primarily in Malta and make use of Maltese talent. The purpose of supporting co-productions is to strengthen partnerships between Maltese and international producers and to develop skills in the Maltese film industry. The fund will also allow partner countries to share the risk and cost of screen production. Co-production arrangements offer both cultural and economic benefits to partner countries. Co-productions have the ability to engage new international audiences and enhance existing relationships between partner countries. Productions that have been approved as official co-productions are treated as ‘national’ productions in each partner country.
The total budget available under the Malta Co Production Fund is €1 million per annum. The amount of the financial contribution to be awarded will be determined within the limits of the available budgetary resources and with regards to the cost and nature of each proposed action.
Tax Credits –
The Business Promotion Act provides fiscal incentives for companies engaged in certain target sector activities, including the film industry. Tax credits are computed as a percentage of either the value of captial investment or the value of wages for 24months covering new jobs created as a result of an investment project. Facilities for filming and audiovisual producitons qualify for investment tax xredits.