These programs allow Fiji taxpayers to invest in qualifying audio-visual productions and claim enhanced tax deductions:
- F1 AVP: Receive a 150% tax deduction on capital expenditure.
- F2 AVP: Receive a 125% tax deduction on capital expenditure
Eligibility Criteria:
Eligible projects include:
- Feature films, short films, large-format cinema
- Broadcast TV (free-to-air, satellite, pay-TV), internet content
- Direct-to-video programs, audio recordings
- Computer programs, websites, and e-commerce tools tied to AV production
Minimum local spending (Total Fiji Expenditure) required:
- ≥ 40% for large films or TV programs
- ≥ 50% for direct-to-video
- ≥ 55% for audio recordings
Income Tax Exemption Phases
- For F1: Net income is tax-exempt until the investor recovers 60% return on their capital—income taxed normally after that.
- For F2: Net income is tax-exempt until a 50% return—then taxed at standard rates
Application Process
- Apply for a provisional F1 or F2 certificate from Film Fiji before production begins, including a synopsis, budget, completion bond, and application fee
- Deposit full production budget into a Fiji AVP Account; pay applicable audio-visual levies
- During production: Submit fortnightly production and cost reports to Film Fiji).
- Complete production within 24 months after starting expenditure.
- Apply for the Final Certificate, with audited expenditure, scripts, masters, and credit documentation, within six months of completion
- Ensure all criteria listed in the Income Tax (Film making & Audio-visual Incentives) Regulations 2016 is completed.
F1 vs F2: Key Differences
- F1: Offers greater deduction (150%) and higher return threshold (60%).
- F2: Offers 125% deduction with lower threshold (50%).
- F1 also favours projects that promote Fiji—like films showcasing Fiji culturally or luxuriously
Enquires
– for any further queries, kindly contact raahila@film-fiji.com