Production Service Tax Credit (PSTC) / Providing domestic and international companies with labour based tax incentives

The PSTC is a labour based tax incentive that provides refundable tax credits to Canadian or international film and television production corporations that have incurred eligible labour costs in British Columbia. The PSTC is not subject to any Canadian content requirements. In addition, there is no limit on the PSTC that may be claimed on a particular production and there is no limit that a corporation or group of corporations can claim. The program includes four initiatives: Basic, Regional, Distant Location, and Digital Animation or Visual Effects (DAVE).

How the PSTC works

The PSTC is a refundable corporate income tax credit. When filing tax returns, your corporation may claim a specified percentage of the labour costs incurred in making a production. The credits are applied to reduce tax payable, and any remaining balance is paid to the corporation. Please note that your production corporation must apply to BC Film + Media to receive an accreditation certificate for the production. In order to claim the PSTC tax credits, your production corporation must file a corporate income tax return, along with the certificates, with the Canada Revenue Agency.

Additional information about PSTC

Program Summary

PSTC Information Bulletin

DAVE Information Bulletin

FAQ

Legislation and Regulations

Ministry of Finance - Production Services Tax Credit

Canadian Audio-Visual Certification Office (CAVCO)

Canada Revenue Agency (CRA)