Canarias removes the cap on tax incentives for the audiovisual sector, cementing its position as the top choice for production companies worldwide.

filming in the canary islands

This move underscores the Canary Islands government’s commitment to the sector, which already showed promising signs in 2023 and foresees an even more productive 2024.

Last Tuesday, the Canary Island’s Government approved changes to the fiscal incentive scheme for audiovisual productions—films, series, documentaries—conducted in the Islands, removing the €50 million annual bonus limit. Previously, when this threshold was reached, no other audiovisual project could benefit from the deduction, either waiting until the following year or opting for another destination.

This measure represents a significant leap forward, positioning Canarias as a leader in the audiovisual industry within Spain and Europe, attracting a greater number of productions and consequently generating more jobs.

Through collaborative efforts between the Canary Islands Government, Proexca, the private sector including the Canary Islands Audiovisual Cluster, the Canary Islands Film Commission, the Film Commissions of the seven island councils, and the Canarian Special Zone (ZEC), the regional economy is set to receive a substantial boost. Last year, investment attraction in the audiovisual sector, animation, and cultural activities accounted for over 15% of the total investment and generated over 100 direct jobs and more than 15,000 indirect ones.

Moreover, the modification has been retroactively approved from January 1, 2022, marking a significant stride towards enhancing competitiveness and diversifying the local economy.