Corporation Tax Act 2009 section 1188

Activities of film production company treated as a separate trade

Section 1188 establishes that a film production company's activities relating to a particular film must be treated as a separate trade for corporation tax purposes, and sets out when that trade is treated as having commenced.

• A film production company's activities in relation to a film are treated as a separate trade, distinct from all its other activities
• This includes keeping the film trade separate from activities relating to any other films the company may produce
• This separate trade is referred to throughout the legislation as "the separate film trade"
• The separate film trade is treated as starting either when pre-production of the film begins or when any income from the film is first received, whichever happens earlier