Audio-visual tax reliefs

Word TAX RELIEF. Written on a calculator on an office desk.

Audio-visual tax reliefs

The film, TV and video games tax reliefs will be reformed, becoming expenditure credits (similar to RDEC) instead of enhanced deductions, from 1 April 2024. The new Audio-Visual Expenditure Credit (AVEC) will replace the current film, high-end TV, animation and children’s TV tax reliefs. The expenditure threshold for high-end TV will remain at £1 million per hour. There will also be a new Video Games Expenditure Credit (VGEC). Qualifying expenditure for the VGEC will be expenditure on goods and services that are used or consumed in the UK. Games that have not concluded development on 1 April 2025 may continue to claim EEA expenditure under the current video games tax relief, until this relief ends in April 2027. Full details of these changes are still to be confirmed, but please contact us if you are concerned as to how they might affect your company.