Film Levy

The film levy raised from video distributors exploiting films over 58 minutes as license-holders on such image-carriers as DVD or Blu-Ray Discs by rental or sell-through is based on the annual net turnover from these revenues. It ranges between 1.8 and 2.5 per cent. Distributors with a net turnover of less than 500,000 Euros, who generate less than 2 per cent of their turnover from feature films, do not have to pay the film levy and are only subject to a reporting obligation.

Video-on-demand services with an annual turnover of less than 500,000 Euros from the exploitation of feature films are also obliged to report their turnover, but are exempt from paying the levy. The film levy is between 1.8 and 2.5 per cent of the annual turnover exceeding this amount.

In the case of video-on-demand services operating for a flat rate, the net turnover subject to the levy corresponds to the feature films’ share of the total net turnover generated from subscription contracts. The feature films’ share corresponds in this instance to their share of the actual viewing time of the total offer.

With net turnover from the preceding year of

●    up to € 500,000 - exemption from paying the levy
●    up to € 20 million - levy rate 1.8%
●    over € 20 million - levy rate 2.5%

Newly registered distributors are provisionally classed as 1.8%.

With net turnover from the preceding year of

●    up to € 500,000 - exemption from paying the levy
●    up to € 20 million - levy rate 1.8%
●    over € 20 million - levy rate 2.5%

The preceding year’s turnover shall provide the basis for determining the turnover categories for exhibitors, video-on-demand services and video distributors. The turnover must be reported by the 10th of the following month. In the eventuality that the turnover should be below the exemption threshold, you are however still obliged to report the film levy to us in accordance with § 144 FFG. Payment of the film levy shall be made by the 10th of the following month in accordance with § 125 FFG.

Missing reports / late payment: the film levy must be estimated if there haven’t been any reports submitted.
The procedure imposing a penalty payment must be initiated for cinemas or programme providers who are exempt from paying the levy.

In the event of failure to pay the film levy, the FFA is obliged to carry out the legally prescribed order for payment procedure and subsequently initiate enforcement proceedings if necessary.

Should your current financial situation mean that you are not in a position to pay the film levy, please contact us so that we can find a solution together if necessary.

The average of these months will be calculated and multiplied by 12 for the case where turnover was only generated for part of the year. The film levy’s percentage will be finalised at the end of the year after extrapolation. Any overpayments will be refunded.