WINNIPEG – On Friday the province of Manitoba announced an enhancement to its film and video production tax credit along with legislation to permit the use of certified flag persons on productions.
In the 2020-21 budget, a new Manitoba production company bonus of 8% will be added to the 30% cost-of-production credit, increasing the total cost-of-production credit to 38%. The ministers noted that improvements are based on advice from the Manitoba Film and Video Production Tax Credit Working Group.
“The Manitoba Production Company Bonus of 8% will attract investment to the province and encourage Manitoba entrepreneurs and creators to continue to establish businesses, generate jobs and create great content, here in Manitoba. We deeply appreciate the confidence the Government continues to place in our industry through these new commitments to growth and partnership,” said Rob Rowan, chair of the On Screen Manitoba Board of Directors, in the province’s press release.
The budget also says there will be changes to The Highway Traffic Act that will allow a traffic authority (either the province or a municipality) to permit certified flag persons to temporarily control traffic in situations where it is safe to do so. Traffic control on Manitoba roads is essentially limited to the RCMP – but paying police to do traffic control for TV and movie production can be expensive and there aren’t always officers available.
Flag people used to control traffic would need a valid flag person certificate from an accredited training provider and the province provides approval for flag person-training providers in Manitoba.
In Budget 2018, the Manitoba Government struck a government-industry working group to review the tax credit program. A report was provided to the government in early fall and in Budget 2019 a key recommendation of the working group to make the Manitoba Film and Video Production Tax Credit permanent was announced.
According to Manitoba Film and Music’s most recent annual report, the media production industry’s total production volume reached $269.4 million in 2018-2019. Considering payroll numbers for members of IATSE 856, the largest media production industry union in Manitoba, total member earnings have more than tripled in the past three years from a total of $10 million for 2016 to an estimated $32 million for 2019. In the last ten years, the industry has attracted over $1 billion worth of production volume, over half of which was spent in the province of Manitoba on labour, goods and services, says On-Screen Manitoba
