Corporation Tax Act 2009 section 1217FC

Production company

Section 1217FC defines what makes a company the "production company" for a theatrical production, which is important because only the production company can claim theatre tax relief.

• A production company must be responsible for producing, running and closing the theatrical production, be actively engaged in decision-making throughout, make an effective creative, technical and artistic contribution, and directly negotiate, contract and pay for rights, goods and services — and it must not be acting as a partnership.
• Only one company can be the production company for any given theatrical production.
• Where more than one company meets all the qualifying conditions, the company most directly engaged in the relevant activities is treated as the production company.
• If no company meets the qualifying conditions, there is simply no production company for that production, meaning theatre tax relief cannot be claimed.