Oireachtas Joint and Select Committees

Wednesday, 5 October 2022

Committee on Budgetary Oversight

Film Sector Tax Credits: Discussion

Mr. John Arkins:

As I said, the best way to deal with compliance is not to give 90% of the section 481 tax credit upfront. Only 10% should be given and the company should be required to have in place all of the funding to make the production from elsewhere. After three months, the Departments responsible for culture, finance and jobs should check the position and only give the remaining 90% when all of the boxes have been ticked. That would safeguard taxpayers and workers and would build an industry. That is the only and simplest way to do this.

We have outlined other ways to operate the section 481 tax credit. We came up with the idea of using what was done in the Foynes pay office where various stevedore companies were coming in and people did not know if, when or where they were working. We suggested that the money should be given straight to a company, which would look after employment, pensions, training, jobs and everything else. This would ensure there was a structure in place but our suggestion was not taken on board.

We also suggested that everyone be paid for a flat 40-hour week and the stamps would continue to be paid when the production comes to an end. Nobody would be in breach of legislation and so forth. We have made 101 suggestions but the problem is that the person who got the money is not being asked the question. We are talking about the Irish Government here. It takes one official with a phone on his desk to make five phone calls because there are only five or six employers in the country.

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