Watch a video about how Creative Industry Tax reliefs work.

What are Creative Industry Tax Reliefs and how do they work?

If you’re a company claiming tax relief you can claim Audio-Visual Expenditure Credit (AVEC) on expenditure incurred from 1 January 2024 on:

• film
• high-end TV programmes
• children’s TV programmes
• animation

HMRCCheck mayif agreeyour tocompany acceptqualifies lateas claimsthe inproduction somecompany circumstances.before claiming the relief.

Before

Cultural you claim

test

You’llTo needqualify tofor havecreative Britishindustry certificationtax beforereliefs, youall canfilms claim.and YouTV canprogrammes readmust aboutbe passingcertified theas British. The film and TV programme must pass a cultural test andor applyingqualify forthrough an internationally agreed co-production treaty. 

The British Film Institute manages certification and qualification on behalf of the BritishDepartment Filmfor InstituteCulture, website.Media and Sport.

The British Film Institute will issue:issue: 

• an interim certificate — for uncompleted workwork 

• a final certificate — whenwhere production has finishedfinished 

1. GetYou British certification.

2. Find out what you can claim.

3. Checkfind themore conditionsinformation forabout film,certification high-endand TVapplying programmes,on children’s TV programmes or animation.

4. Work out the coreBritish costs.

5. CompleteFilm theInstitute additional information formwebsite — From 1 April 2024 all claims must include this..

6. Claim

   Check onif yourthe Companyproduction Taxqualifies Return.

Whatfor youthe canexpenditure claimcredit

YouYour company can claim anthe expenditure credit based on a percentagefilm of your qualifying expenditure. Qualifying expenditure will be the lower of either:if:

• 80%

  it ofis totalcertified coreas costs

• theBritish amountby of UK core costs

You can claim the followingBritish expenditureFilm credit rates:Institute

• 39% of qualifying expenditure for children’s TV programmes, animated films and animated TV programmes
• 34% on all other films and TV programmes

Youit willis needintended tofor worktheatrical out the amount of expenditure credit:release 

• due to your company
• used to pay off your tax liabilities
• surrendered to other companies
• due as a payable credit

1. Your company’s total expenditure credits for a period are taxed at theleast main10% rate of Corporationthe Tax.

2. They‘core costs’ are thenrelated used to payactivities offin yourthe Corporation Tax liability.UK 

TheyA canfilm alsois bean usedanimation toif payat offleast other51% taxof liabilitiesthe if‘core youcosts’ haveare them,spent oron surrendered to other group companies.animation. 

IfA youfilm haveis creditan remainingindependent afterfilm theseif steps,it youis willcertified receiveas a payablelow-budget creditfilm forby thatthe amount.

CheckBritish theFilm conditionsInstitute. toTo claim

Film

Yourbe certified, your film must:

• bebegin certifiedprincipal asphotography Britishon byor theafter British1 FilmApril Institute2024
• have —a checkUK guidancewriter onor theirdirector website
• or be intendedan forofficial theatrical releaseco-production
• have at least 10% of the ‘core costs’ relatedless tothan activities£23.5 in the UKmillion

TV programmes

You can claim on a TV programme if:if: 

• it is certified as British by the British Film Institute

• it is intended for broadcast to the general public — this includes streaming onlineonline 

• at least 10% of the ‘core costs’ relate to activities in the UKUK 

• the programme is a drama, comedy, documentary, animation or children’s programmeprogramme 

A TV programme is:is: 

• a children’s programme if the primary audience for the programme is expected to be under the age of 1515 

• an animation if at least 51% of the ‘core costs’ are spent on animationanimation 

Dramas,

Your company can claim the expenditure credit on dramas, comedies and documentaries

They mustif also:they:

• have average ‘core costs’ of at least £1 million per hour of slot lengthlength 

• have a slot length in relation to the programme which is greater than 20 minutes per episodeepisode 

Work out core costs

Core costs are what is spent on pre-production, principal photography and post-production.post-production 

YourYou companycan mustcheck if the production qualifies for the relief. 

What you can claim

You can claim an expenditure credit based on a percentage of your qualifying costs. Qualifying costs will be responsiblethe for:lower of either:

• pre-production
• principal80% photographyof total core costs
• post-production
• delivery of the completedamount filmof orUK programmecore costs

You companycan mustclaim also:the following expenditure credit rates:

• be39% activelyof engagedqualifying inexpenditure planningfor children’s TV programmes, animated films and decision-makinganimated TV programmes
• directly53% negotiate,on contractindependent andfilms
• 34% payon forall rights,other goodsfilms and servicesTV programmes

What you’ll need

ForThe eachhigher productionrate youfor mustindependent provide:

• afilms Britishcan culturalbe certificateclaimed from the1 BritishApril Film2025. InstituteIt —applies ifto thecosts filmincurred orfrom TV1 programmeApril is2024. stillIndependent infilms production,may youonly canclaim providerelief anon interimup certificateto and£15 sendmillion thecore finalcosts.

  From certificate1 whenApril the2025 filmfilms orand TV programmeprogrammes iswith completea —rate certificatesof must34% becan inclaim datefurther whencredit youfor submitvisual them

• statementseffects ofcosts. theCosts amountincurred offrom core1 January 2025 are eligible. Visual effects costs —have splita betweenrate UKof 39% and non-UKare costs
• exempt from the 80% cap on total core costs.

  Your company’s total expenditure credits for a breakdownperiod ofare coststaxed byat category

• detailsthe ofmain connectedrate partyof transactions

Corporation Tax.

How to claimclaim 

From April 2025, you must include the CT600P creative industries supplementary page with your return.

You will need to work out the amount of expenditure credit:credit: 

• due to your companycompany 
• used to pay off your tax liabilitiesliabilities 
• surrendered to group other companies
• anydue as a payable creditcredit 

From due1 April 2024, all claims must be accompanied by an additional information form. You must use this form to submit the necessary evidence to support your claim.

For each production you must provide:

• a British cultural certificate from the British Film Institute — if you send an interim certificate, you must send the final certificate after the film is complete and the certificate must be in date when you submit it

• statements of the amount of core costs — split between UK and non-UK costs 

• a breakdown of costs by category 

• details of connected party transactions

FurtherGet more information

DetailedYou guidancecan onfind themore Audio-Visualinformation, Expenditureincluding Creditexamples canof behow foundthe expenditure credit is calculated, in the creative industries expenditure credit manual.