LANGLEY – The Province of BC has increased tax incentives for the motion picture sector in hopes of attracting more major productions and ensure that good-paying film and TV industry jobs stay in B.C. according to a recent press release.
“This is an industry where B.C. excels and is known as a progressive and sophisticated leader on the world stage. With recent upheaval and sharp competition across the global industry, today our government is signalling a strong and strategic action plan to ensure that our collective investments continue to deliver thousands of quality, well-paying jobs, generous dividends across B.C.’s supply chain and ancillary businesses, and incremental cross-sector growth,” said Gemma Martini, Screen BC chair and CEO of Martini Film Studios.
Budget 2025 will include increases to the Film Incentive BC (FIBC) tax credit, which supports Canadian-content productions, and the production services tax credit (PSTC) that provides a tax incentive for international projects made in B.C. With the approval of budget legislation, the FIBC will increase from 35% to 36%, and the PSTC will increase from 28% to 36% for productions with principal photography starting Jan. 1, 2025. To further give major productions incentives in the province, projects with B.C. production costs of greater than $200 million will receive a 2% bonus.
Based on feedback from animated productions, the Province also intends to restore regional and distant location tax credits for companies with a bricks-and-mortar presence outside of Metro Vancouver, the Fraser Valley and Whistler/Squamish.
In 2023, strike action halted the industry for more than six months and a decrease in global productions have affected the province’s film industry. According to Creative BC, more than 37,000 jobs in the province were supported by the motion-picture industry in 2022, compared to 26,000 in 2023.
Other jurisdictions are increasing film incentives to attract productions in an already competitive market. Increasing the FIBC and PTSC is intended to support continued growth in B.C.’s motion-picture industry and meet market demands.
In B.C., foreign productions make up more than 80% of total production spending on average. Maintaining strong international relationships is critical for the film and TV industry to continue to thrive.
In November, government officials, went to Los Angeles to meet with studio decision-makers. The delegation discussed ways to enhance the Province’s competitiveness and highlight the benefits of filming in B.C. and understand the needs of the industry.
Quick Facts:
- According to Creative BC, the film industry generated $2.7 billion in GDP in 2022 – roughly 1% of B.C.’s GDP – and $2 billion in 2023, a year impacted by strike action and a decrease in global production.
- In 2023-24, B.C. provided $909 million in film and television tax credits.
- Both the FIBC and PSTC are based on B.C. labour expenditures and can be stacked with other credits that support productions to use locations outside the Lower Mainland, hire B.C.-based scriptwriters, use specialized digital animation and related labour or provide approved training
Source: Province of BC News archives
