Skip to main content
Form 200. Corporate Income Tax Declaration 2019

8.4.3.3 2019: Spanish film productions (PC)

Article 36.1 of the LIS establishes that taxpayers may apply the deduction for investments in cinematographic productions with respect to Spanish productions of feature films and audiovisual series of fiction, animation or documentaries, which allow the preparation of a physical support prior to its serial industrial production, provided that they are considered the producer of the work.

The reporting entity must enter in code [00807] (page 17 of form 200) the amount corresponding to the expenses incurred in the production and exhibition of live performing arts and musical shows generated in the tax period and in code [00808 ] the amount of the deduction that is subject to application in this declaration.

Deduction percentages applicable in fiscal year 2019.

The producer of the work may apply the following deduction percentages:

  • 25 percent (20 percent until 01-31-2016) with respect to the first million base of the deduction.

  • 20 percent (18 percent until 01-31-2016) on the excess of said amount.

Deduction base

The basis of the deduction will be constituted by the total cost of production, as well as the expenses for obtaining copies and the advertising and promotion expenses borne by the producer up to the limit for both of 40 percent of the production cost.

At least 50 percent of the deduction base must correspond to expenses incurred in Spanish territory.

The deduction cannot be greater than 3 million euros.

The financial co-producer who participates in a Spanish feature film production will be entitled to this deduction based on their respective percentage of participation.

Requirements

To apply the deduction established in this section, it will be necessary to meet the following requirements:

  1. That the production obtains the corresponding certificate of nationality and the certificate that accredits the cultural character in relation to its content, its connection with the Spanish cultural reality or its contribution to the enrichment of the cultural diversity of the cinematographic works that are exhibited in Spain, issued by the Institute of Cinematography and Audiovisual Arts.

  2. That a new and in perfect condition copy of the production be deposited in the Spanish Film Library or the film library officially recognized by the respective Autonomous Community, under the terms established in Order CUL /2834/2009 .

The deduction provided for in this section will be generated in each tax period for the production cost incurred therein, although it will be applied from the tax period in which the production of the work ends.

In the case of animation productions, the deduction provided for in this section will be applied from the tax period in which the nationality certificate indicated in letter a) above is obtained.

The investment part financed with subsidies will not give the right to deduction.

Application limit

The amount of this deduction, together with the rest of the aid received by the taxpayer, may not exceed 50 percent of the production cost.

However, this limit will be raised to:

  • 60 percent in the case of cross-border productions financed by more than one Member State of the European Union and in which producers from more than one Member State participate.

  • 70 percent in the case of productions directed by a new director whose production budget does not exceed 1 million euros.

Deadline to apply for the deduction

The production costs incurred in each tax period will qualify for this deduction, although it will be applied with effect from the tax period in which production of the work is concluded.

However, in the case of animation productions, the deduction provided for in this section will be applied from the tax period in which the nationality certificate indicated above is obtained.

The amounts not deducted in the tax period may be applied in the settlements of the tax periods that conclude within the immediate and successive fifteen years.