New film tax credit out this week

Bold: Treasury tightens grip on film tax

Following months of negotiations with the film industry, a new version of section 48, the tax code which provides relief for British film-makers will be rubber stamped on Tuesday, according to The Guardian.

The paper reports that from 2006, UK films costing up to £20m can claim back 20% of their budgets through the new arrangement – meaning an extra £4m of funding.

Some filmmakers claimed the sudden closure of a partnership loophole in February this year caused their productions to close down – the loophole was closed by the Inland Revenue, following what it called significant abuses.

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