Verkhovna Rada of Ukraine passed the changes in the law “About cinematography” and some laws about state support of the domestic films.
The Act presupposes that the subjects of cinematography are exempt from rent for the land. In addition, according to the ordinance, the subjects of cinematography are allowed to add in the cost of film production the amount of insurance costs of film production and receipt of financial guarantees up to 10% of the estimated cost of the film.
The Act also provides for exemption from payment of VAT from the film distribution. Anticipated tax exemption on value added turnover funds for the implementation of works and services for production, printing, rentals, and screening of films.
Also tax-exempted are the profits from the sales of film production, or the rights to its use.
The amount of costs and subsidies for financial support cinematography stands out as a separate item in the state and local budgets.