- Corporate tax credit
- Focused on supporting employment in film and video production
- Continuous intake
The Film or Video Production Services Tax Credit (PSTC), co-administered by the Canadian Audio-Visual Certification Office (CAVCO) and Canada Revenue Agency (CRA), is a corporate tax credit designed to encourage the employment of Canadians in film or video production, or film or video production services.
The Film or Video Production Services Tax Credit (PSTC) is a refundable corporate income tax credit which is calculated as 16% of the qualified Canadian labour expenditures for an accredited production.
Companies can receive a refundable corporate income tax credit for qualified Canadian labour expenditures paid. This includes:
- Salary or wages paid to employees of the corporation
- Remuneration, other than salary or wages, paid to a person or partnership
- Reimbursement by a wholly-owned corporation to its parent
To be eligible for the PSTC, a production corporation must be:
- A taxable Canadian corporation or a foreign-owned corporation which carries out at least 50% of activities through a permanent establishment in Canada
- Primarily conducting business in film and video production or film and video production services
The eligible corporation must also either own the copyright in the accredited production, or have contracted directly with the copyright owner of the production to provide production services for the production.
PSTC is a permanent program which accepts applications on an ongoing basis.