eNews - October 2014

Creating Extra Cash-flow 

Could your creative company benefit from a boost to its cash flow? If it produces computer games, films, high-end TV or animation programmes, it may qualify for a new payable tax credit.

All of these products can qualify for extra tax relief if they can be certified as culturally British, and at least a quarter of the core production costs are incurred in the UK. There are some other conditions:

- only businesses trading as companies can qualify for the tax relief, not individuals or partnerships; and- the product must be intended for release to, or to be broadcast to the general public, not produced for training or advertising purposes.
High-end TV programmes are essentially quality drama; not news, current affairs or quiz shows. Unfortunately producing original music doesn't qualify as a creative product for these tax reliefs.