TBILISI: Georgia officially launched its tax incentives programme which will go into operation at the beginning of 2016. It will offer a 20% cash rebate of qualified expenditure with an additional rebate of 2-5% based on the promotion value of the production.
David Vashadze, Head of Export and Distribution at GNFC, told FNE: "We think that this decision is crucial for the Georgian film industry. There are many film production companies looking for new and very diverse territories. Low bureaucracy and a film friendly atmosphere are very important, but without financial incentives the possibility of attracting a big number of foreign productions is not very high.”
The programme Produce in Georgia was put up by the Georgian Ministry of Economy and Sustainable Development together with the Georgian National Film Center.
The minimum limit of qualified expenses is 190,328 EUR /500,000 GEL for feature films, TV films, TV series/mini-series, or animated films, and 114,197 EUR /300,000 GEL for documentaries, commercials, reality shows and music videos.
The programme has two stages. After shooting wraps in Georgia, 20% of qualified expenditure is automatically returned to the production company. When the film is finished and released, it is assessed by pre-defined criteria (Georgia is mentioned as an acting place on a script level, well-known locations have been used, etc.) for the additional 2-5% rebate. Both Georgian and foreign projects may participate.