New institutional framework

Below we briefly mention the details of the new institutional framework for strengthening the production of audiovisual works in Greece, through the provision of investment incentives based on Law 4487/2017, which was passed last August.

Audiovisual production

Audiovisual production is defined as the economic activity of the audiovisual sector that falls into the following categories (based on the 2008 activity code numbers):

-59.11 Motion picture, video and television programme production activities
-59.12 Services incidental to the production of motion pictures, videos and television programmes
-62.01.21 Production of computer game software prototypes

Objective of the new framework

The new law has the main objective of linking the production of an independent audiovisual work with the strengthening of competitiveness through the investment law. With the aim of transitioning to increasing domestic added value. Therefore, it is addressed to businesses with audiovisual work and specifically television series, mini-series, TV film, feature film, short film, fiction, creative documentation (documentary) and animation (animation), with interactive or not applications, produced with the aim of being distributed on multiple platforms (free terrestrial television broadcasting, subscription television broadcasting, online television, provision of on-demand services, cinemas, websites for the distribution and screening of television and cinema works, social media, applications and programs on computers, tablets, game consoles and mobile phones).

Exceptions

It is important to emphasize that the exceptions include videotaped or filmed artistic performances and events, any kind of sporting event and program, television, telephone or online games and competitions, informative programs, interviews or talk shows, reality programs, teleshopping programs, entertainment games, as well as programs with pornographic content or others that violate human dignity or promote discrimination.

Project budget

The budget of the submitted project proposals is set at 25% and must not exceed the upper limit of five million (5,000,000) euros.

Action Beneficiaries

Companies of any legal form, age and size may participate (with the exception of troubled companies as defined in Regulation (EU) No. 651/2014 paragraph 18 of Article 2). It is noted that the company - potential beneficiary must, at the time of submission of the application, be legally operating in Greece or in another EU Member State and have a VAT number. Companies that do not have a registered office or branch in Greece at the time of submission, have the opportunity to be subsidized through cross-border producers. In this case, one of the companies will be designated as a production company, which will submit the application for inclusion in the law. The aid will be provided proportionally to each of the participating companies, first of all according to their actual participation percentage in the audiovisual work, and only after prior approval, proportionally to the actual production costs incurred by each company.

Also, the regime of the basic investment law includes investment projects for the production of an independent audiovisual work, as well as a work characterized as a "Difficult audiovisual work", as defined by the EU.

According to the new legislation, eligible production costs are understood to mean all eligible expenses required for the production of the audiovisual work, excluding expenses related to technological equipment, land and buildings, borrowing costs, bank expenses, marketing, promotion and communication costs.

Eligible expenses

The relevant aid is granted in relation to production costs incurred in Greece, up to 80% of the total production cost. Furthermore, with regard to the fees for services provided by the director, actors and screenwriters, it is provided that if they are not incurred in Greece, they become eligible and are calculated on a percentage basis, according to the days of filming in Greece. The eligible costs that can be included are the following:

expenses for rights, such as script, music score
expenses for any type of service provision directly related to the production of the audiovisual work, such as accommodation and meals, travel, equipment rental, studios, post-production services, c. the salary cost of jobs for the implementation of the investment plan
material procurement costs
costs of designing, producing and testing digital game software

Investment projects falling under this regime are supported by the incentive of a grant, with the amount of the grant being calculated after the certified completion of the investment project.

More information in the pdf file ENHANCEMENT OF THE PRODUCTION OF AUDIOVISUAL WORKS

Download the relevant Government Gazette here

Comart

Comart is an Authorized Reseller of Blackmagic Design, and other leading companies of audiovisual products and solutions. It is also an Apple Authorized Reseller, Lacie Authorized Reseller, etc. It has long-standing experience and a specialized sales and support department for audiovisual event coverage installations, video streaming, IPTV, cinema, video production & post-production and broadcast.

ENHANCEMENT OF THE PRODUCTION OF AUDIOVISUAL WORKS