Nova Scotia Continues to Support the Film Industry
The province is reaffirming its commitment to the Film Industry Tax Credit program as a great investment that offers a big return for Nova Scotia.
"This film industry tax credit continues to give our province a strong advantage when competing for production," said Economic and Rural Development and Tourism Minister Percy Paris. "It has proven to be the driving force that has created high-value jobs in our film, television and new media industries and continues to play a significant role in our province's economic prosperity."
In December, the province removed the total production cap for the film industry tax credit, allowing producers to claim between 50 and 65 per cent of eligible Nova Scotia labour, encouraging them to hire locally.
The residency requirement, which was impeding job creation, was also removed. Now companies can claim full tax credit for employees who are residents of Nova Scotia, for tax purposes, during the production period. This makes Nova Scotia's tax credit one of the most competitive in Canada.
As a direct result of these changes, production activity surged in the province with two local animation studios, DHX Media Limited and Huminah Huminah Animation, secured contracts that allow both companies to hire dozens of additional staff.
The tax credit is a labour-based credit that creates good jobs and stimulates growth. Each year, the industry employs about 3,000 people and contributes more than $100 million to our economy.
On domestic production, for every dollar received from the credit, an additional four dollars is attracted to the region in production activity. On foreign productions, every dollar from the credit brings another nine.
The 2011 year has already been busy for the province's film industry. Four drama series, two feature films, and a television movie have committed to filming in Nova Scotia. In addition, reoccurring lifestyle and documentary series, and the pick-up in the animation industry ensure that the industry is booming.