Part 15Film production
Chapter 3Film tax relief
Film tax credits
1202Surrendering of loss and amount of film tax credit
1
The company may surrender the whole or part of its surrenderable loss in an accounting period.
2
If the company surrenders the whole or part of that loss, the amount of the film tax credit to which it is entitled for the accounting period is given by—
where—
L is the amount of the loss surrendered, and
R is the payable credit rate (see subsection (3)).
3
The payable credit rate is—
a
for a limited-budget film, 25%, and
b
for any other film, 20%.
4
The company’s loss in the separate film trade for the accounting period is reduced by the amount surrendered.