The Federal Government has granted tax break to movie producers and others in the creative industry.
The action which is aimed at transforming the industry to a creative economy and jobs was revealed in a statement released in Abuja on Thursday, August 3, by the Minister of Information and Culture, Lai Mohammed.
The decision is in fulfilment of the promise made by the Acting President, Yemi Osinbajo, at the opening of the Creative Industry Financing Conference in July 18, in Lagos.
The ‘Pioneer Status’ is granted to companies making investments in qualifying industries and products as tax holiday from the payment of corporate income tax and withholding tax on dividend from pioneer profits for an initial period of three years, extendable for one or two additional years.
”This is a shot in the arm for the Creative Industry, and it will definitely catalyse investments in the industry. It is also the answer to our quest to spur the establishment of world class studios in Nigeria for production and post-production of movies and music videos,” the minister said.
This tax break covers music production, publishing and distribution (including online digital distribution); Photography; Production and post-production of digital content for motion pictures, videos, television programmes, commercials, distribution and exhibition (digital movies, animation, videos, tv programmes and commercials); Publishing of books (copyrighted books) and development and Publishing of ready-made software (operating systems, software applications and computer games).