Here at the home of tax accounting for actors we also help small and medium-sized theatre companies access Theatre Tax Relief, which is a de facto government subsidy for many theatre productions produced by limited companies.
HMRC have just released revealing stats about the last three years’ claims.
TTR accounted for only 4% of creative industry claims, claiming just over 3% of the subsidy paid out in creative claims. (TV relief is the costliest by far, and Film has the largest number of claims by far.)
TTR tends to be characterised by lots of companies making a small number of small claims. 37% of claims were for under £10K.
We swim in a pond with some large fish - 60% of the cash was paid in respect of only 9% of the claims.
Our view on these figures is that TTR continues to be a ‘must’ for small producers. Although the process is initially cumbersome and requires forethought and planning, once you are in the swing of it, you are dealing with (believe it or not) one of HMRC's quickest processes.
There are a heap of rules to follow - as we've always said, TTR is what you get when you ask Tories to design a subsidy - but once you follow them, you can be confident that HMRC are trying to push you through as quickly as possible, pay you out and spend their time on the much bigger numbers happening on just 9% of theatre, but much more of Film and TV.
Claiming TTR is not something you can correctly and effectively do DIY. Many people can and do manage their self-assessment returns by themselves, but TTR is claimed via the Corporation Tax Return, and the Corporation Tax Return is not a place for anyone who isn’t a qualified accountant. TTR also isn’t for non-specialists. Do feel free to talk to us, without any obligation.