Government announce increased tax credit for films with big visual effects budgets

Tánaiste Simon Harris and Minister for Culture Patrick O'Donovan have confirmed a new Visual Effects Uplift to the Section 481 Film Tax Credit to drive competition for high-value visual effects work in Ireland.

Productions with at least €1 million in eligible visual effects expenditure will qualify for a 40% Film Tax Credit on eligible expenditure of up to €10 million per production.

The Section 481 credit of 32% will apply on eligible expenditure above the €10m threshold.

The scheme aims to alleviate costs for the audiovisual sector and draw attraction to Ireland in high-value VFX work productions. It aims to increase international film and television production in Ireland.

"Ireland is already recognised around the world as a great place to make film and television," the Tánaiste said.

"This new visual effects uplift will help us build on that reputation by making Ireland even more competitive in attracting high-value productions.

"It will support investment, create highly skilled jobs, and provide new opportunities for Irish talent and companies working in one of the fastest-growing parts of the screen industry.

"This is about backing our creative sector and ensuring it continues to thrive."

Speaking recently, Minister O’Donovan said the enhancement is a great opportunity for the Irish screen industry.

"Building on the success of Section 481, this enhancement is a great opportunity in particular, to the Irish VFX industry but also the wider Irish screen industry. It shows the continued support this government has for our many talented creative sectors. I look forward to seeing the productions that will be created in the coming years as a result of this enhancement."

Désirée Finnegan, Chief Executive of Fís Éireann/Screen Ireland, expressed her support of the enhancement.

"Fís Éireann/Screen Ireland would like to thank Tánaiste and Minister for Finance alongside Minister O’Donovan for their continued recognition and support of the Irish creative screen industries," she said.

"This enhanced credit for visual effects strengthens Ireland's position as a leading hub for VFX and post-production work, highlighting the visual artistry and technical expertise of the Irish industry.

"Through the National Talent Academy for VFX, Screen Ireland is supporting skills development across the sector - and will continue to strengthen relationships with international studios and production partners to drive further growth and career opportunities for Irish companies and creatives."