Highlights

One of the World’s Best Film Incentives

TAX Rebate

At a highly competitive 54%, the Canary Islands offer one of the most generous tax rebates available to international film producers. This exceptional incentive makes the islands an even more attractive location for your next production, allowing you to maximize your budget while taking advantage of world-class filming locations and infrastructure.

Join the ever-growing list of productions that have benefited from this lucrative tax scheme and discover why the Canary Islands are a top destination for international filmmakers.

Eligibility of Costs

Eligible Costs:

  • Creative Staff (EU Taxpayers) – Fees, payroll, fringes, and living expenses for eligible creative staff, provided they pay taxes within the EU.

  • Producer Fees – Eligible in proportion to time spent in the Canary Islands during prep and production, relative to the entire project timeline.

  • Non-Creative Staff – Fees, fringes, and living expenses for crew members outside the "Creative Staff" category (e.g., 1st AD, 1st Camera AC) are eligible, regardless of tax residence, as long as they are hired and paid by a Canary Islands-based SPV.

  • Local Expenditures – All costs incurred in the Canary Islands or Spain qualify for the rebate.

Non-Eligible Costs:

  • Creative Staff (Non-EU Taxpayers) – Fees, fringes, and living expenses for creative staff paying taxes outside the EU (e.g., USA, UK) do not qualify.

  • Administrative Expenses – Accounting, office rental, office supplies, legal fees, and audit costs are not eligible for the rebate.

  • International Flights – Any flights originating or landing outside Spanish airspace are not eligible.

Important Notes:

  • A True Tax Rebate – Unlike a tax credit, the Canary Islands’ incentive is a direct rebate, meaning the full amount is returned to the production without any loss of funds during the process.

  • VAT Exemption – Audiovisual productions in the Canary Islands benefit from a 0% VAT rate, significantly reducing overall production costs.

  • Eligible & Non-Eligible Costs – It is crucial to define which expenses qualify for the rebate to optimize your financial planning.

  • Reimbursement Timeline – The tax rebate is typically reimbursed a minimum of 9 months after submitting final accounts to the Spanish tax authorities.

  • Bridge Financing Available – We offer financing solutions to reduce the immediate equity burden on productions.

With the Canary Islands Tax Rebate, you can significantly reduce production costs while benefiting from some of the most diverse and visually stunning locations in the world. Our team is here to help you navigate the process, ensuring full compliance and maximum financial efficiency.

Contact us today to learn more about how to optimize your production budget with the Canary Islands’ unbeatable tax incentives.

Climate.

The Islands of Eternal Spring

The Canary Islands are famous for their subtropical climate, offering mild, pleasant weather all year round. Thanks to their unique geographical location, the islands enjoy stable temperatures, low seasonal variation, and over 300 sunny days per year, making them an ideal destination for film productions looking for consistent shooting conditions.

Year-Round Temperatures:

  • Winter: 18–22°C (64–72°F) – Mild winters with little variation between day and night.

  • Summer: 24–30°C (75–86°F) – Warm but moderated by the surrounding Atlantic Ocean and the trade winds, keeping conditions comfortable.

Water Temperatures:

  • Winter: 18–20°C (64–68°F)

  • Summer: 22–24°C (72–75°F)

  • The mild ocean temperatures make underwater and coastal filming possible year-round.

Sunshine & Weather Conditions:

  • More than 3,000 hours of sunshine per year.

  • The southern regions of the islands are generally sunnier and drier than the northern areas.

  • A mild, consistent climate with minimal seasonal fluctuations, reducing the risk of unexpected weather-related production delays.

The Canary Islands’ reputation as "The Islands of Eternal Spring" makes them one of the best filming locations in the world, ensuring predictable and favorable shooting conditions no matter the season.

Financing & Co-Production.

At Film Canary Islands, we provide bridge financing solutions to help productions optimize cash flow and minimize financial constraints while awaiting their Canary Islands tax rebate payout. Our financing is based on approved tax rebate calculations, verified in collaboration with our trusted partners KPMG and CREA SGR, ensuring a smooth and reliable process.

Key Features of Our Bridge Financing:

  • Advance Funding – We offer financing between 70% to 90% of the estimated tax rebate, depending on the specifics of your production.

  • Structured Disbursement – Funds are released from our loan account and aligned with the production’s cash flow requirements, following the expenditure of the international producer’s funds.

  • Competitive Interest Rate – Calculated based on the current Euribor rate + 4.25%, ensuring a transparent and predictable cost structure.

  • Flexible Repayment – The loan is repaid upon receipt of the tax rebate payout from the relevant tax authorities, eliminating the need for additional financial strain on the production.

By leveraging our bridge financing service, productions can access funds earlier, maintain liquidity, and ensure a smooth workflow without waiting for the standard tax rebate reimbursement timeline.

Project Development.

Expert Guidance from Concept to Production

At Film Canary Islands, we provide comprehensive project development support, whether you're in the early stages of concept creation or further along in the development process. Our team of experts ensures that your project is strategically planned to maximize efficiency, optimize costs, and take full advantage of the Canary Islands' tax incentives.

Our Project Development Services:

  • Script Breakdowns & Scheduling – We meticulously analyze scripts, create production schedules, and develop tailored strategies for smooth execution in the Canary Islands.

  • Budgeting & Financial Planning – Our line producers craft detailed budgets optimized for filming in the region, ensuring that productions maximize tax incentives while maintaining cost efficiency.

  • Location & VFX Consulting – We provide expert advice on location selection, VFX planning, and other key production departments to determine the most effective and budget-friendly approach for your project.

  • Production Strategy & Logistics – From pre-production planning to execution, we help define the most efficient route to bringing your creative vision to life.

By integrating our in-depth industry knowledge, local expertise, and financial planning capabilities, we help streamline every aspect of production, ensuring a well-structured and cost-effective workflow.

Get in touch today to see how we can support your project from development to production!