Bulgaria Film Incentive Overview
The Bulgaria Film Incentive offers a 25% rebate on qualified expenses incurred in Bulgaria by local and international productions. To benefit from the Bulgaria Film Incentive, projects must engage with a registered Bulgarian production company and meet the minimum spend criteria.
Eligible expenses under the Bulgaria Film Incentive include cast and crew wages, equipment rentals, production services, and post-production. The Bulgaria Film Incentive applies to feature films, television series, animations, and documentaries, making it one of Europe’s most versatile programs.
The Bulgaria Film Incentive has a €4.3 million annual cap and a €1 million project cap. This rebate, coupled with Bulgaria’s experienced crews and scenic diversity, positions the Bulgaria Film Incentive as a major asset for producers.
Hoodlum Introduction
Hoodlum Film Fixers offers end-to-end support for productions applying for the Bulgaria Film Incentive. From budgeting and tax documentation to crew coordination, we make the Bulgaria Film Incentive process seamless.
By ensuring compliance and optimizing your claim, Hoodlum helps you unlock the full value of the Bulgaria Film Incentive. Let us help you realize your creative vision while fully leveraging the Bulgaria Film Incentive.
Incentives Offered
The Bulgarian Film Rebate offers a 25% cash rebate on qualifying expenditures incurred within Bulgaria during the production of feature films, high-end television series, documentaries, and animation projects. This incentive is specifically designed to attract international productions to the country, fostering economic growth and boosting the local creative industry.
Eligibility Criteria
To qualify for the Bulgarian Film Rebate, a project must meet specific length and format requirements:
- Feature films must have a minimum length of 70 minutes.
- Documentary films must have a minimum length of 60 minutes, or documentary series must have episodes over 40 minutes each.
- Animation films or series must have a total length of at least 24 minutes.
- TV films for broadcast or OTT platforms must be at least 70 minutes long, or series must have episodes over 40 minutes each.
Minimum Qualified Production Expenditure (QPE) per Project
Minimum QPE thresholds vary depending on the production type:
- Feature Films:
- Foreign productions: $1,000,000 (up to 40% rebate) or $100,000 (30% rebate)
- Local productions: $50,000 (30% rebate)
- High-End TV Drama Series or Single Drama:
- $150,000 per episode (up to 40% rebate)
- $20,000 per episode (30% rebate)
- Post-Production:
- $150,000 (up to 40% rebate)
- $30,000 (30% rebate)
- TV Documentary Programme:
- $20,000 minimum QPE
- Music Videos:
- Foreign productions: $30,000 (30% rebate)
- Local productions: $15,000 (30% rebate)
- Dubbing Projects:
- $30,000 minimum QPE
Accepted Categories of Production for Evaluation
The Bulgarian Film Rebate Scheme accepts the following categories of production for evaluation:
- Feature Films: Films with a minimum length of 70 minutes
- Documentary Films: Films with a minimum length of 60 minutes or documentary series with each episode over 40 minutes
- Animation Films: Films or animation series with a total length of 24 minutes
- TV Films or Series: Films for television or OTT platforms with a minimum length of 70 minutes or series with each episode over 40 minutes
Qualifying Production Expenditures
Pre-Production Expenditures
- Script development: Costs associated with scriptwriting, research, and development.
- Location scouting: Costs related to finding and securing locations for filming.
- Casting: Costs associated with casting actors and extras.
- Storyboarding: Costs related to creating visual representations of the production.
- Budgeting and scheduling: Costs associated with creating and managing production budgets and schedules.
Production Expenditures
Cast and Crew Salaries and Fees
- Actor fees: Salaries and fees paid to actors and extras.
- Crew salaries: Wages and benefits paid to production crew members, such as directors, producers, cinematographers, and production assistants.
Professional Fees
- Director’s fees: Fees paid to the director for their services.
- Producer’s fees: Fees paid to producers for their services.
- Screenwriter’s fees: Fees paid to screenwriters for script development.
- Other professional fees: Fees paid to other professionals, such as editors, cinematographers, and production designers.
These expenditures must be:
- Incurred in Bulgaria: Costs must be incurred on the territory of the Republic of Bulgaria.
- Directly related to the production: Costs must be directly related to the production of the film or series.
- Reasonable and necessary: Costs must be reasonable and necessary for the production.
Labour Costs
- Salaries and wages: Payments to cast and crew members, including taxes and social security contributions.
- Fees: Payments to freelancers, consultants, and other professionals.
- Benefits: Contributions to pension funds, health insurance, and other benefits.
These labour costs must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Equipment Rental Fees
- Camera equipment rental
- Lighting equipment rental
- Sound equipment rental
- Grip equipment rental
- Other equipment rental
These equipment rental fees must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Location Fees
- Fees for using public locations
- Fees for using private locations
These location fees must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Wardrobe and Costume Expenses
- Costume design and creation
- Costume rental
- Costume purchase
- Wardrobe maintenance and alteration
These expenses must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Set Design and Construction Costs
- Set design
- Set construction
- Set dressing
- Set modification and alteration
These costs must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Special Effects and Stunts Expenses
- Visual effects
- Special effects
- Stunts
These expenses must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Catering, Craft, and Services Costs
- Catering
- Craft services
- Services (including catering companies, cleaning, maintenance, security)
These costs must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Specialized Services
- Camera and electrical services
- Grip services
- Lighting services
- Sound services
- Other specialized services
These services must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Accommodation and Transportation Costs
Accommodation Costs
- Hotel stays
- Rental accommodations
Transportation Costs
- Travel costs
- Local transportation
These costs must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Travel Costs
- Airfare
- Ground transportation
- Travel agency fees
These travel costs must be:
- Incurred in Bulgaria or for production-related travel.
- Directly related to the production.
- Reasonable and necessary.
Miscellaneous Costs
- Office expenses
- Communication costs
- Insurance
- Permits and fees
These costs must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Post-Production Expenditures
Editing and Visual Effects
- Editing services
- Visual effects
Sound Design and Music
- Sound design
- Music composition
Color Grading and Finishing
- Color grading
- Finishing
These post-production expenditures must be:
- Incurred in Bulgaria.
- Directly related to the production.
- Reasonable and necessary.
Non-Qualifying Expenditures
- Expenditures incurred outside Bulgaria
- Marketing and distribution expenses
- Pre-production development costs not directly related to filming
- Costs not supported by documentation
- Any expenditures unrelated to production
Application Process
Step 1: Pre-Production Application (Optional)
- Submit intention to apply to the Bulgarian National Film Center
- Receive confirmation of eligibility
Step 2: Application Submission
- Gather required documents (project description, script, budget, schedule, key personnel list)
- Submit application with required fee
Step 3: Application Review
- Review by the Bulgarian National Film Center
- Additional information may be requested
Step 4: Rebate Certificate
- Receive a rebate certificate upon approval
- Review and sign the certificate to confirm terms
Step 5: Production and Expenditure
- Start production and incur qualifying expenditures
- Maintain accurate records of expenditures (receipts, invoices, contracts)
Step 6: Claim Submission
- Submit a claim with an expenditure report and supporting documentation
- Possible audit to verify eligibility
Step 7: Rebate Payment
- Rebate amount calculated (25% of eligible expenditures)
- Payment issued to the production
Timeline
- Pre-production application: Before production starts
- Application submission: Before or during production
- Claim submission: After production completion
Requirements for Successful Application
- Compliance with eligibility criteria
- Properly documented and incurred expenditures
- Clear and accurate recordkeeping
By following these detailed steps and ensuring all requirements are met, production companies can benefit from Bulgaria’s 25% cash rebate on qualified production expenditures. This scheme not only supports filmmakers but also boosts Bulgaria’s creative industries and economy.
Ready to maximize your film incentives?
Partner with Hoodlum Film Fixers to navigate rebate programs, streamline compliance, and connect with trusted local partners. Let us handle the logistics so you can focus on creating. Contact us today to get started.