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Australian film industry incentives 2008-09

If you invest in the Australian film industry, you may be eligible for a special tax deduction. NAT 0954-6.2009.

Last updated 6 August 2009

This publication can be downloaded in Portable Document Format (PDF): Australian film industry incentives 2009 (NAT 954, 204KB)This link will download a file

What deductions can I claim for investing in Australian films?

If you invest in the Australian film industry, you may be eligible for a special tax deduction for capital expenditure incurred in acquiring an interest in the copyright of an Australian film.

As a taxpayer, you may be able to claim a deduction under either:

  1. Division 10B of Part III of the Income Tax Assessment Act 1936 (ITAA 1936), which gives investors a deduction, normally spread over two years, for capital contributions used to acquire rights in or under copyrights relating to an 'Australian film', or
  2. Division 10BA of Part III of the ITAA 1936, which gives investors a 100% deduction for capital expenditure used to produce a 'qualifying Australian film' where, as a consequence, they acquire an interest in the initial copyright of the film.

Division 10B applies to both residents and non-residents, while Division 10BA applies to residents only. A resident taxpayer can make an election that Division 10BA is not to apply to their project and can therefore choose to apply Division 10B instead.

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