Canada's Conservative minority government has promised to drop controversial tax credit legislation that chilled the film and television production industry earlier this year. The omnibus tax bill, C-10, would have allowed the government to withhold a producer's tax credit if that production were deemed contrary to 'public policy.'
With Canadians going to the polls October 14, the Conservative Party announced that, if re-elected, the government would not reintroduce the unpopular bill. 'We will take into account the serious concerns that have been expressed by film creators and investors,' read the platform document.
The proposed legislation was chilling for lenders, given that most Canadian producers borrow against the tax credits to finance their productions. The potential for arbitrary government decisions threatened any project.
Although the House of Commons had unanimously approved the legislation, the changes were buried deep within the massive document and went unnoticed until an entertainment lawyer alerted the media. The Canadian Senate had vowed to amend the legislation.
With Canadians going to the polls October 14, the Conservative Party announced that, if re-elected, the government would not reintroduce the unpopular bill. 'We will take into account the serious concerns that have been expressed by film creators and investors,' read the platform document.
The proposed legislation was chilling for lenders, given that most Canadian producers borrow against the tax credits to finance their productions. The potential for arbitrary government decisions threatened any project.
Although the House of Commons had unanimously approved the legislation, the changes were buried deep within the massive document and went unnoticed until an entertainment lawyer alerted the media. The Canadian Senate had vowed to amend the legislation.
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