Producer Offset

The provisional certificate is a non-binding decision about a project’s eligibility for a final certificate based on the information submitted in the application.

For provisional certification, we will not:

• Assess an applicant’s estimated QAPE. Applicants are encouraged to obtain their own independent QAPE opinion if required.
• Certify that interested party transactions are budgeted in accordance with the arm’s length principle, or
• Audit the claims in your application form and associated documentation.

You can submit an application via the SmartyGrants portal.

Applications for provisional certificates are required to pay a processing fee, based on the estimated budget of the film.

For applications received from 1 July 2025 the fees will be (GST inclusive):

• $161.00 – if budget total is less than $1m
• $805.00 – if budget total is $1m to less than $5m
• $1,616.00 – if budget total is $5m to less than $15
• $3,230.00 – if budget total is $15m to less than $30
• $5,652.00 – if budget total is $30m or more.
• $220.00 – Reassessment fee

These fees must be paid by EFT before submitting an application to the Producer Offset and Co-production Unit.

To claim the Producer Offset from the Australian Taxation Office (ATO), you need a final certificate from Screen Australia. You can apply for a final certificate after a project is completed and audited.

The final certificate, once issued, will state the QAPE amount determined by Screen Australia. The applicant then claims the Producer Offset in the applicant’s income tax return to the ATO for the financial year in which the project is completed. The ATO will credit the Producer Offset against any existing income tax liability and refund the remaining amount.

To apply, submit the following via the SmartyGrants portal:

• A completed application form with all required attachments.
• Statutory declaration.
• A copy of the completed project (this is required for the assessment process and is covered by the tax secrecy provisions, you may watermark it).
• Expenditure statements (general ledger, final cost report, QAPE spreadsheet).
• A QAPE auditor’s statement. A registered company auditor must audit your QAPE claim in accordance with the Rules.

For more information, refer to Section 1.2.2 the Producer Offset Guidelines and FAQ number 11 for a detailed list of documentation required.

We will only issue a final certificate if we are satisfied that you have provided sufficient and proper evidence to demonstrate that the project meets the relevant requirements set out in Division 376 of the ITAA.

QAPE is a subset of production expenditure. It has a dual role for the purposes of the Producer Offset:

• It is the basis for determining whether the minimum expenditure thresholds have been met, and
• It provides the basis of the Producer Offset itself, as the amount of the refund is a fixed percentage (30% or 40%) of QAPE on a certified project.

QAPE is defined by section 376-145 of the ITAA as the company’s production expenditure that is incurred for, or is reasonably attributable to:

• Goods and services provided in Australia
• The use of land located in Australia, and
• The use of goods that are located in Australia at the time they are used in the making of the project.

The General Ledger is the key part of the expenditure statements that you are required to submit as part of your final certificate application.

The General Ledger should contain a detailed breakdown of the expenditure claimed as QAPE and include the following details:

• a description of each budget item;
• the amount of expenditure, including the cost/rate (usually per week);
• details of each service provider (including the name of the person performing   the role and the company, if relevant);
• the dates the work was performed and goods and services were provided; and where the work was performed

Applications without a detailed general ledger including the above information, or with an incomplete or incorrect general ledger, cannot be assessed.

Division 376 of the Income Tax Assessment Act 1997 (ITAA) and the Producer Offset Rules 2018 provide the basis for Screen Australia’s administration of the Producer Offset, including certifying eligible applicants and determining their Qualifying Australian Production Expenditure (QAPE).

The current legislation was originally introduced in 2007 in the Tax Laws Amendment (2007 Measures No. 5) Act 2007 [insert link], and has subsequently been modified by the Australian Government from time to time. In 2024, the government announced further changes to the Producer Offset legislation, however, the implementation of these amendments are subject to the passage of legislation.

For more information, visit Legislation and Rules.

The Producer Offset, administered by Screen Australia, is one of three refundable tax offsets for film production, offered by the Australian Government.

The two other offsets are:

• the Location Offset, a 30 per cent offset on qualifying Australian production expenditure (QAPE) designed to encourage large-budget film and television projects to film in Australia.
• the PDV Offset, a 30 per cent offset on the QAPE that relates to post, digital and visual effects production for a film.

The Location Offset and PDV Offsets are administered by the Department of Infrastructure, Transport, Regional Development, Communications, Sport and the Arts.

Note: that the Producer Offset, Location Offset and PDV Offset are mutually exclusive – you cannot claim the Producer Offset if your project has received a final certificate for the Location or PDV Offset.

Refer to the below documents and information:

• Producer Offset Guidelines (for comprehensive information on the Producer Offset)
• FAQs (a summary of key information about the administration of the producer offset)
• Our Resource Library supporting documentation including QAPE spreadsheet
• SmartyGrants portal