Written answers

Tuesday, 24 March 2009

Department of Arts, Sport and Tourism

Film Industry Development

9:00 pm

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 603: To ask the Minister for Arts, Sport and Tourism the function he or his Department has in respect of the Irish Film Board or the development of policy in respect of the film industry; and if he will make a statement on the matter. [10905/09]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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Primary responsibility for the support and promotion of film-making in Ireland in respect of both the indigenous sector and inward productions is a matter for the Irish Film Board. This agency is funded through my Department and is independent of the Department in its operations.

My Department's primary role in supporting the film sector relates to the administration of elements of the Section 481 tax relief scheme. This scheme is kept under regular review in conjunction with the Irish Film Board and any enhancements necessary to retain or regain competitiveness are addressed and brought to the attention of the Minister for Finance as appropriate. The scheme was amended and enhanced in the Finance Acts of 2000, 2003, 2004, 2005, 2006 and most recently in 2008. The amendments in 2008 extended the scheme for a further four years until the end of 2012, increased the overall ceiling on qualifying expenditure from €35m to €50m, increased the individual investor cap for those wishing to invest finance in film in Ireland to €50,000 per annum from the previous limit of €31,750 and increased the relief on that investment to 100% from 80%. Approval from the European Commission to introduce these changes was secured last week and the Minister for Finance subsequently signed the Commencement Orders.

I believe that these adjustments to the tax investment scheme will assist Ireland in remaining competitive and will be a catalyst in securing filmmaking opportunities for this country. The film industry is the cornerstone of a smart and creative digital economy and the new provisions in Section 481 will sustain and grow employment in this sector in the years ahead, grow our production capacities and help to embed this key creative industry.

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