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New tax incentive to give Lithuanian film industry a big boost

Lithuanian film producers predict that the number of movies produced in Lithuania next year will increase three-fold after the country’s parliament approved an amendment to the income tax incentive for film production.

The new 20% location filming incentive will become available at the start of 2014 and will run for four years.

Arturas Zuokas, mayor of the country’s capital Vilnius, said in a statement: “This incentive is vitally important for our film industry. The income tax amendment will encourage Hollywood’s and Europe’s greatest filmmakers to choose Vilnius and Lithuania for shooting, bringing with them tax revenue and new jobs. This incentive will benefit not just the film industry, but the entire country.”

Vilnius Film Office director Jurate Pazikaite states that the incentives will allow Lithuania to offer both high quality and financially advantageous terms, making it a competitive country in the film industry.

“We have highly competent film professionals, unique landscapes, architecture, and all the seasons of the year. However the absence of tax incentives caused us to lose projects worth millions as their creators decide to take them elsewhere. I am very pleased that this situation changed today and that Vilnius is once again in the running as a cost effective location with highly educated and greatly skilled human resourses,” said Pazikaitė.

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