Introduces tax incentives for foreign film production
05 Dec 2011
Mexico has launched a US $20 million tax-incentive program in a move to lure film production activities. Managed by the State-run film financing agency Imcine and Mexican trade and investment body ProMexico, the program offers tax rebates of 7.5 percent on film productions that exceed the amount of US $5.5 million. By Mexican standards, where the average budget runs about US $2 million, this is considered a high-budget production. The fund will double next year to US $40 million.Producers also can write off an additional 10 percent owed for IVA, Mexico's value-added tax. To qualify, foreign producers must contract local production services.
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Type:
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Promotion and facilitation (Investment incentives)
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Industry:
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Services (Publishing, audiovisual and broadcasting activities)
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Sources:
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Economist Intelligence Unit, 05 Dec 2011
