Grant widened for very large film productions
A new grant for very large film productions is now in effect.
From today, productions that spend over $200 million in New Zealand can apply for an additional grant that provides a 15% rebate on expenditure for ‘guaranteed deferments’ and/or ‘participation payments’.
The changes were introduced following an agreement between the government and Warner Bros that enabled the two Hobbit movies to be filmed in New Zealand.
The government agreed to make changes to the Large Budget Screen Production Grant, to improve New Zealand’s competitiveness as a film destination for very large budget films like The Hobbit.
The changes involved widening the Large Budget Grant criteria by creating a new ‘additional grant’ of up to $9.75 million for expenditure that is excluded under the standard grant. The additional grant is only available for productions that spend over $200 million in New Zealand.
Applications for the additional grant must be made no later than three years and three months from the first commercial release of the production. The grant can only be claimed on expenditure made within three years of the first commercial release.
The additional grant came into effect today and is administered by The New Zealand Film Commission.