Production Incentives: Get Back Up to 35% of Your Animated Film Costs

How the incentive works

The programme was created by the Czech Ministry of Culture and is administered by the Czech Audiovisual Fund (the “Fund”). It has been running since June 2010 and covers films intended for cinema release as well as selected television productions, both Czech and international.

The incentive is a cash rebate of 25–35% of eligible costs. It is not a subsidy: you first spend your own funds in the Czech Republic, the Fund audits that spending after production is completed, and only then is the rebate paid out.

Application forms are in Czech and a Czech service production company has to enter the programme on your behalf. Every project must first pass a cultural test during registration.

Minimum requirements and rates

Which rate applies, and how much you need to spend in the Czech Republic, depends on the type of project:

The incentive is calculated from Czech and certain international eligible costs, up to CZK 450 million per project. The registration fee is CZK 60,000.

Calculations follow European Commission rules. The calculation basis can be at most 80% of the total budget, and total state aid paid may not exceed 50% of the total budget.

What counts as eligible spending

Czech costs are goods and services paid to companies or individuals registered for income tax in the Czech Republic. These earn the full 25% or 35% incentive.

International costs are royalties paid to foreign cast and crew that are subject to Czech withholding tax. For these, the incentive is 66% of the withholding tax actually paid in the Czech Republic.

How to apply

Projects can be filed all year round. The application forms and all related documents are available at fondkinematografie.cz. After filing, your Czech service production company receives a Decision on Filing, and the clock starts:

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  Production (pre-production, principal photography or post-production) must start within 6 months of the Decision on Filing.
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  Within the following 3 months, 10 shooting days must be completed — or all of them, if the project has fewer than 10.
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  Digital productions without shooting submit a progress report to the Fund every 6 months.
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  Costs can be claimed up to 6 months before the filing application.
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  The incentive amount can be increased once, by no more than 15%.
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  Payment must be requested within 3 years of the Decision on Filing.

Your Czech service production company submits the following documents in Czech: the cultural test, synopsis, script, treatment (at least 3 pages for documentaries), shooting schedule, overall and eligible budget, financial plan, co-production contract (if applicable) and service contract. A Fund committee evaluates the cultural test, and the Fund’s Production Incentives Department informs the service company of the result.

What is not eligible

Some costs do not count towards the incentive — for example VAT (in most cases), marketing and distribution, or in-kind contributions. For the complete list and more information, see filmcommission.gov.cz or the official documents at fondkinematografie.cz.

Credit line

Projects supported by the incentive carry this credit: “Produced in the Czech Republic with Production Incentives from the Czech Audiovisual Fund.”

Where to find the official information

The programme is described by the Czech Film Commission at filmcommission.gov.cz. All official documents and forms are published by the Fund at fondkinematografie.cz.