Line 796 - Canadian film or video production tax credit
Line 796 - Canadian film or video production tax credit
A fully refundable tax credit is available to qualified corporations that produce an eligible production certified by the minister of Canadian Heritage to be a Canadian film or video production.
The credit is equal to 25% of qualified labour expenditures for the year for the production. The qualified labour expenditure cannot be more than 60% of the total cost of a production. The tax credit is therefore limited to 15% of the total cost of a production, less any assistance. Labour expenditures in respect of non-residents of Canada (other than Canadian citizens) will not be eligible for the credit.
For more information, see Guide RC4164, Canadian Film or Video Production Tax Credit, or go to canada.ca/taxes-film.
To claim the credit, file the following items with your return for the year:
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the Canadian Film or Video Production Certificate (Part A) issued by the Canadian Audio-Visual Certification Office (CAVCO), or a copy
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if it applies, a Certificate of Completion (Part B) issued by CAVCO, or a copy, and a copy of the audited statement of production costs and notes provided to CAVCO
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a completed Form T1131, Canadian Film or Video Production Tax Credit, for each Canadian film or video production
If you file your return electronically, see information on T2 Attach-a-doc on page 12.
If you file a paper return, send the return and required attachments to your tax centre. To find your tax centre, go to canada.ca/cra-tso-contact-information.
On line 796, enter the amount of the credit from Form T1131. If you are filing more than one of these forms, enter the cumulative total.
You cannot claim the Canadian film or video production tax credit if you claim the film or video production services tax credit for that same production for any tax year.
References
Section 125.4
Regulation 1106
RC4164, Canadian Film or Video Production Tax Credit
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