Amend Production Services Tax Credit
Sign on the House of Commons websitePetitioners ask the Government of Canada to amend the federal Production Services Tax Credit to eliminate the 'federal grind' so provincial production tax incentives no longer reduce the eligible labour expenditure base.
Why we would sign this petition
- It increases the combined value of federal and provincial production incentives, making Canada's overall package more competitive versus other jurisdictions.
- Stronger combined incentives could attract and retain internationally mobile film and TV productions, supporting Canadian production jobs and sustaining industry capacity.
- Maximizing the tax credit's effectiveness could improve economic returns on public investment and help boost Canadian content development and businesses.
Why we wouldn’t sign this petition
- Removing the federal grind could raise fiscal costs or reduce offsetting savings, creating trade-offs for federal budgets and taxpayers.
- It may advantage provinces differently and risk uneven regional effects, complicating coordination between federal and provincial incentive programs.
- A full elimination might be less targeted than other reforms; a more narrowly modernized credit could better balance competitiveness with fiscal and policy concerns.
The summary and both sets of reasons are AI-generated from the petition and given equal weight. Claims are the petitioners’ own; consult the official record for the full text.
Official petition
Petition to the Government of Canada Canada's motion picture industry is a significant contributor to the national economy, supporting more than 181,000 jobs and generating over $10.2 billion in annual production activity; Federal and provincial production tax incentives play an important role in attracting international film and television investment, supporting Canadian workers, and sustaining the infrastructure and businesses that serve both international and Canadian productions; The federal Production Services Tax Credit currently reduces eligible labour expenditures by the value of provincial production tax assistance, a mechanism commonly referred to as the federal grind; This interaction reduces the combined value of federal and provincial incentives and weakens Canada's competitiveness against jurisdictions offering increasingly attractive production incentives; Eliminating the federal grind would allow existing federal and provincial incentives to work more effectively together, strengthen Canada's ability to attract and retain globally mobile productions, support Canadian motion picture workers, boost Canadian content development and Canadian businesses; and A targeted modernization of the federal Production Services Tax Credit would help maximize the economic return on existing public investment while supporting Canada's skilled workforce and production capacity. We, the undersigned, citizens and Residents of Canada, call upon the Government of Canada to amend the federal Production Services Tax Credit to eliminate the federal grind, so that provincial production tax incentives no longer reduce the eligible labour expenditure base used to calculate the federal credit.
Government response
No government response is available yet.