Film or video production services tax credit – How to apply

How to apply

Step 1: Get an accredited film or video production certificate from the Canadian Audio-Visual Certification Office (CAVCO).

Step 2: Fill out the following forms and send them to the Canada Revenue Agency (CRA), along with your CAVCO certificate (or a copy) for each accredited production:

• T2, Corporation Income Tax Return
• Form T1177, Film or Video Production Services Tax Credit (see Guide RC4385, Film or Video Production Services Tax Credit for instructions)

You need to fill out a separate Form T1177 for each accredited production. For television productions, each episode in a series is considered to be a separate production. However, the CRA will accept one form for the episodes in a series that are certified by CAVCO as a Canadian film or video production.

If you make multiple claims, include all corresponding CAVCO or provincial certificates with your T2 return. Otherwise, the processing of your T2 return will be delayed and your claims may be denied.

Keep all financial documents to support your claim.

If your claim is incomplete, the CRA will ask you to provide the missing information before it reviews your claim.

What is a complete claim

Your claim is considered complete if Form T1177 and your CAVCO certificate are attached to your corporation's T2 return.

Filing your T2 return electronically

If you are filing your T2 return electronically, you still have to send your CAVCO certificate to the CRA.

You can send it electronically using My Business Account or by mail to your CRA film services unit. The location of your corporation's books and records usually determines which film services unit you should send your certificate to. If your books and records are outside of Canada, send the certificate (or a copy) to the Fraser Valley Film Services Unit.

Filing a paper T2 return

If you are filing a paper T2 return, send the return and required documents to your tax centre. The tax centre will forward them to the appropriate film services unit.