Tag Archives: Treaty Co-Production

Canadian Film or Video Production Tax Credit and Canadian Immigration (Part 2)

Introduction

In this section, I will look at the Canadian Film and Video Production Tax Credit’s (CPTC) provisions around Key Creative Personnel and why, consequentially, Telefilm Treaty Co-Production Agreements are desirable from an immigration perspective.

Telefilm Treaty Co-Production Agreements

The first stage in determining whether the Key Creative Personnel are met is to determine what type of production is in question. the CPTC Guideline sets out two different types, Live Action Productions and Animation Productions, each with their own set of scoring rules.

For a Live Action Production the following positions are considered for a maximum of 10 points. To qualify, one of two of the director positions and one of two of the lead performer positions must be filled by a Canadian.

  • Director – 2 points

  • Screenwriter (see s.4.06) – 2 points

  • Lead performer for whose services the highest remuneration was payable (see s.4.05) – 1 point

  • Lead performer for whose services the second highest remuneration was payable – 1 point

  • Director of photography – 1 point

  • Art director – 1 point

  • Music composer (see s.4.07) – 1 point

  • Picture editor – 1 points

For a Animation Production the points are as follows:

  • Director – 1 point

  • Screenwriter and storyboard supervisor (see s.4.06) – 1 point

  • Lead voice for which the highest or second highest remuneration was payable (see s.4.05) – 1 point

  • Design supervisor (art director) – 1 point

  • Camera operator (in Canada) – 1 point

  • Music composer (see s.4.07) – 1 point

  • Picture editor – 1 point

  • The following points will be allotted if the work is performed solely in Canada.

  • Layout and background – 1 point

  • Key animation (must be in Canada) – 1 point

  • Assistant animation and in-betweening – 1 point

With respect to Animation Productions, there are some additional requirements. Either the director or the screenwriter and supervisor must be Canadian. Either the highest or second-highest remunerated lead voice must be Canadian, and all key animation must be done in Canada.

There are also several general rules that apply to all types of Key Creative Personnel. Among the general rules are several important for immigration purposes. No points are to be awarded for Canadians who share key personnel roles for other non-Canadians. Also, the camera operator role for Animated Productions must conduct his work in Canada. Also, scoring on a collection of films or a series of films must be done individually and the production company should make a separate list of individuals who worked on each production.

Why are Telefilm Treaty Co-Productions So Valuable from an Immigration Perspective?

Canada has currently 55 Co-Production Agreements and Memorandum of Understandings with several countries. The full list can be found here.

The benefit of a Treaty Co-Production Agreement is that pursuant to the CPTC Program Eligibility Requirements, these films operate under the specific Treaty Co-Production Agreement rather than the CPTC Guidelines with respect to the Key Creative Personnel and Producer-Related Personnel. The CPTC Guidelines regarding the Key Creative Personnel point system and the rules surrounding production-related personnel need not apply.

The language in these agreements is generally much more favourable than the CPTC Guidelines. For example, in the 2014 Audiovisual Co-Production Agreement Between the Government of Canada and the Government of the Republic of India ( the “India Agreement), Articles 3 and 5 provide that producers and participants can be a national of one of the parties and that through mutual consent in writing by administrative authorities, can also include third countries.

The India Agreement also provides in Article 6 that the Parties shall facilitate temporary entry and residence in the respective territories for creative and technical personnel and performers.

Importantly, one of the countries that does not have a Treaty Co-Production Agreement with Canada is the United States. One of the areas I will be researching into in the future (possibly through ATI requests) is how American film productions, through filming in Canada, partnering with local production companies, and utilizing Canadian actors in key lead roles have been able to take advantage of the CPTC tax credit.

Hope you enjoyed the post 🙂