FPC60024 - Claims: Additional Information Form - section 4: production details (FTR)

Sections 4-6 will unlock depending on which reliefs or credits were chosen in section 3.

Section 4 is required for claims to Film Tax Relief (FTR), High-end TV Tax Relief, Animation Tax Relief, Children’s TV Tax Relief and Video Games Tax Relief. If the company is making a claim for any of the Creatives Expenditure Credits, or any of the cultural tax reliefs, then they may also need to complete sections 5 or 6.

The company must first select precisely which reliefs are being claimed for the period (e.g. Film Tax Relief). Then, the company must input the number of productions it is claiming for each type of relief selected.

Film projects – information about specific films

For each individual film a claim is being made for, the following information must be provided. The form will cycle through these questions in a loop until every production has been entered.

  • Production name

This should be the current name of the film. Where this name is different than the one on the supplied British cultural certificate, this must be indicated and an explanation given e.g. the original title was just a working title; an official title was changed on X date. If the production is known by different names in different territories, it would be useful to add that here. The explanation does not need to go into specific commercial reasons, but needs to be thorough enough that HMRC is satisfied that the certificate matches the film being claimed for. 

  • British cultural certificate and reference number

A digital version of the certificate, as obtained from the BFI (British Film Institute), must be uploaded as an attachment. The BFI reference number from this certificate also needs to be manually entered. A certificate must be included for each production claiming, for each period. Even if a company is using the exact same certificate that was submitted to HMRC previously, the certificate must be uploaded again every time it is to be used in a claim.

All certificates must be in date at the time the claim is submitted. If the production status is complete, then a final certificate must be provided.

  • Start date of pre-production

This is the date on which the film began pre-production. This should be the date at which point the production has been given the green light to go ahead. It does not include any early period where speculative work is being undertaken and a decision is still to be made as to whether or not the production will go ahead.

  • Production status

This is the status of the film at the end date of the accounting period covered by the form, and should not reference any progress made after this date. There are three options:
- ongoing (where the production is still in development but is not yet complete)
- complete
- abandoned

If the production has been abandoned, the date of abandonment should be inputted.

FTR does not require connected party transactions to be disclosed.

Relief calculations - information about each relief/credit category

After completing specific questions for every individual production, this sub-section then asks for totals for each type of relief or credit being claimed. This means that if the company is claiming for multiple productions in the same category, the company must add up the figures for all those productions to arrive at the amounts required by the form.

For example, if a company is claiming the AVEC on three films (including one animated), and also FTR on one film, then they should be completing the AVEC sub-section (5) twice: once for the non-animated film, and once for the animated film. They also need to complete the calculation sub-section in section 4 to report the data for their FTR claim.  When they come to this part for AVEC (film), they should be adding together the expenditure and credit amounts from both the non-animated films.

In relation to all films for which FTR is being claimed for in the period, the following are required:

  • Upload calculations

This is an opportunity for companies to upload the mandatory supporting evidence:
- a computation showing how the amount of relief has been calculated for each production
- a breakdown of production expenditure for each production, showing the distinction between core/non-core expenditure, and also UK/non-UK expenditure.

HMRC has produced templates which companies can complete and submit to help them with this requirement. These templates can be downloaded through the form itself, or obtained via emailing creative.industries@hmrc.gov.uk.

  • Total expenditure for the period

This is asking for the total amount of expenditure that has been brought into account as a debit in the company’s FTR computations for the period. It will include both core and non-core expenditure, and also both UK and non-UK expenditure.

The applicant should calculate this amount for all productions claiming FTR in the period and add them together to give a combined total.

  • Total core expenditure for the period

This should be the amount of core expenditure brought into account for the period. It includes both UK and non-UK expenditure.

Core expenditure is expenditure on the pre-production, principal photography, or post-production of a film (FPC50010).

This amount for each individual production is on the HMRC template in box CP3.

The applicant should work out this amount for all productions claiming FTR and add them together to give a combined total.

  • Total UK core expenditure for the period

This box requires the amount of core expenditure brought into account for the period that is also UK expenditure. This is expenditure that is ‘core expenditure’ (see FPC50010) and has also been used or consumed in the UK (see).

The amount of UK core expenditure for the period, for each individual production, is given by box CP10 on the HMRC template.

The applicant should work out this amount for all productions claiming under the expenditure credit category and add them together to give a combined total.

  • Additional deduction for the period

This is the amount of additional deduction the company is claiming under FTR for the period. The additional deduction is the lesser of:

  • UK expenditure
  • 80% of the total core expenditure

Where the production is taking place over multiple accounting periods, these figures are cumulative and the figures incurred to date should be compared (FPC55020).

The applicant should work out this amount for all productions claiming under the expenditure credit category and add them together to give a combined total.

  • Amount of loss surrendered

This is the amount of loss that the company is surrendering in return fora tax credit (FPC55100).

This applicant should work out this amount for all productions claiming FTR and add them together to give a combined total.

  • Total amount of FTR credit claimed

This is the amount of credit that the company is claiming in exchange for its surrenderable losses. It correlates to the amount entered in box 545 of the CT600. It may not be the amount actually payable, as this is the amount before set-off against any other liabilities of the company.