Austria Outlines New Production Incentive Model

The Austrian government has announced a new incentive model to boost international productions across TV, streaming, film and virtual production in the country.

Under the new model, all costs generated locally by production companies and service providers for international productions will be automatically reimbursed by up to 35 percent—5 percent of which is for the consideration of climate-friendly/green criteria.

International audiovisual productions of any length from the areas of movies, television and streaming, as well as national cinema, television and streaming productions co-produced with international partners, are going to be favored. The incentive model is not limited in time and has no budgetary cap.

The model is planned to become effective in January 2023.

WB Secretary General Kurt Egger said: “The international film industry is strongly influenced by globalization and competition. Numerous countries in Europe are already strategically using incentive models for the film industry in order, among other things, to increase added value in their own country, attract investments and create jobs. Austria has been falling behind here for years and is no longer up to date. It is all the more important that Austria finally follows suit and introduces an effective, modern funding instrument for the audiovisual sector.”

Egger added: “As an international art and culture country, Austria must also have the necessary instruments in such a key growth area of ​​the cultural and creative industries in order to be able to develop and maintain expertise and infrastructure. Austria must become an attractive location for the international film and media industry. A modern incentive model for filmmakers ensures that we keep the added value in our country and can do justice to our reputation as a state of art and culture in the 21st century. As an economic association, we therefore expressly welcome the implementation of the tax incentive model for the Austrian film industry.”