The founding members of the Babieka Films have consistently and successfully identified and secured production finance from Spain, from national and regional subsidies and rebates to tax shelter schemes and private equity, with a consequential multiplier effect in excess of 500M €.
Today there are two main sources of soft and semi-soft film finance available in Spain:
Tax Shelter (Credito Fiscal- Article 36.1): Aimed at Spanish nationality Films and TV Fiction (including co-productions) this is a system to attract private finance to film. There is an 25% (30% for the first million) tax relief for investors investing in Spanish Films (capped at €20M) and TV Fiction in mainland Spain (pending to approve capped at €10M per episode), a 35% relief in the Navarra region and a 45%(50% for the first million) for Canary Islands Films and TV Fiction including international co-productions (capped at €10M).
Tax Rebate (Retorno Fiscal- Article 36.2): Aimed at Foreign productions shooting in Spain. With a minimum spend of €1M, foreign producers obtain 25% (30% on the first million) on eligible spend capped at 20M euros in Mainland Spain(In the case of series, the deduction is capped at 10M per episode), 35% on eligible spend in the Navarra region (Northern Spain) and 45% (50% for the first million) on eligible spend capped at 18M euros in the Canary Islands.
Portugal has recently launched their own rebate:
Portuguese Film Rebate (Decree-Law No.45/2018): With a minimum spend of €500.000, Foreign productions obtain between 25% and 30% of eligible spend, depending of characteristic of the project, capped at 4M Euros.