The European Commission has approved the extension of Hungary’s tax rebate system for film crews in a move that local film officials say is set to make the country more attractive for foreign filmmakers, hollywoodreporter.com reports.
The scheme, under which film production companies – both foreign and local – can claim 20 percent of their costs, is to remain in place through Dec. 31, 2019.
“I think it’s a fantastic tool for producers,” Andrew G. Vajna, Government Commissioner for the Renewal of the National Film Industry, told The Hollywood Reporter by phone.
“It lowers the costs of their movies – number one,” he went on to say. “Secondly, it creates an advantage for Hungary to be competitive and come to Hungary to shoot their movies not only because we have tax benefits but we have a really fantastic infrastructure and experienced crews.”
Meanwhile, in response to a request from the Hungarian Film Fund, the total amount of cash available to filmmakers in direct and indirect financial support is doubling to $92.5 million (18.5 billion Hungarian forints) a year.
According to Vajna, for the last three years, the amount of money spent in Hungary by foreign film productions has doubled every consecutive year. “I think, this year, it will be around [$400 million] (80 billion Hungarian forints), not including Hungarian movies.”