04/12/2003

During the budget announcement, Finance Minister Charlie McCreery has said that the Section 481 tax relief has been extended from the end of 2004 to the end of 2008, and that the allowed cap per film on reclaimable tax will be increased by a third, from €10.48m to €15m from January 1st, 2005.

This is excellent news for the whole Irish film industry, which had been lobbying fiercely to save the film tax break Section 481 following Charlie McCreery's decision during last year's Budget announcement to end it on December 31st, 2004, instead of April 5, 2005.

Commenting on the government's decision, Kilkenny, Chairman of the Irish Film Board said: "The IFB joins the industry in welcoming this affirmation of the government's commitment to the growth of the Irish film industry. It is all the more welcome in a year when the investment by the government is bringing its rewards with an unprecedented output of successful films made in Ireland. "With box office success and award winning achievements, there is evidence that major progress has been made. The announcement will help to maintain confidence and promote Ireland as a location for film-making".

James Flynn, Chairman of the IBEC Audiovisual Federation's Film Financing Committee also said: "the decision to retain support for film production in Ireland will allow the continuing development of this important sector and will secure the jobs of 4,300 people". Recent films that have benefited from Section 481 include the box office hits Veronica Guerin and Intermission, as well as Jerry Bruckheimer's €115m King Arthur, the most expensive film ever shot in Ireland.