Directions for Funding Foreign Motion Picture Production Enterprises to Produce Motion Pictures in Taiwan
Promulgated November 9, 2005, by the Government Information Office Decree Sin Ying II No. 0940521362Z
To assist the shooting and post-production of foreign films in Taiwan, to encourage the domestic movie industry to cooperate with movie industries of other nations in areas of financing, technology, and manpower, and, therefore, to galvanize the domestic motion picture industry to strive to meet international standards, the Government Information Office (GIO) has formulated these related directions.
Foreign motion picture production enterprises that have gained the GIO’s permission according to Article 6 of the Enforcement Rules of the Motion Picture Act to produce films in Taiwan may apply for funding from the GIO as long as their production expenses in Taiwan exceed US$1 million. Funds that may be applied for are as follows:
i. A motion picture that is filmed entirely or partially in Taiwan may receive funding equivalent to 20 percent of its total personnel expenses for ROC nationals employed as cast members during the shooting period in Taiwan, plus funding equivalent to 15 percent of the total expenses for ROC nationals hired as staff members.
ii. A motion picture that is filmed and post-produced entirely or partially in Taiwan may receive funding equivalent to 15 percent of the post-production expenses incurred in Taiwan.
iii. A motion picture that meets the conditions outlined in one of the two aforementioned subparagraphs may also apply for funding equivalent to five percent of other expenses incurred during shooting in Taiwan.
The term “post-production” as used in Subparagraph 2 of Article 2 includes such work as audio recording, editing, special effects, sound effects, color correction, and developing or printing of film, as well as any other related post-production work that meets with GIO approval.
Funding stipulated in all subparagraphs of Paragraph 1 is applicable only to foreign motion pictures approved by the GIO for production in Taiwan after these directions go into effect.
For foreign motion picture production enterprises to apply for funding as stipulated in the preceding article, the following documents are required:
(1) A completed application form
(2) A photocopy of a certificate verified by an ROC diplomatic mission proving that the foreign motion picture production enterprise is a legally established company in its home country
(3) A photocopy of the official letter from the GIO permitting the motion picture production enterprise to undertake filmmaking in Taiwan
(4) A photocopy of the motion picture’s screening license issued by the GIO or documentation proving the film was shot and made by the foreign motion picture production enterprise within the Taiwan area (containing such items as work logs during the motion picture’s shooting and/or post-production period, lists of technical staff, work hours and schedules, technical service items, descriptions of equipment and technical directions.)
(5) Applicants for the funding stipulated in Subparagraph 1 and Subparagraph 2 of Paragraph 1 in the preceding Article shall present a breakdown list for all expenditure categories. Applicants for funding stipulated in Subparagraph 1 of Paragraph 1 in the preceding Article shall also enclose ID copies (both sides) of ROC nationals employed as cast or staff members of the motion picture, as well as copies of their contracts for the period when the motion picture was shot in the Taiwan area.
(6) Audit reports (including a breakdown list of the motion picture’s production expenditures made in Taiwan and photocopies of the original receipts for the expenditures) approved by a certified ROC accountant proving that the motion picture’s production expenditures incurred in Taiwan exceeded US$1 million; for functional or individual functional expenses, photocopies of tax withholding statements shall be enclosed; for the applicant’s internal production expenditures, a breakdown list of the motion picture’s cost distribution shall be enclosed.
(7) Documents proving the foreign motion picture production enterprises’ purchase of liability insurance for the period of filming in Taiwan and accident insurance to cover the ROC nationals employed as cast and staff members.
(8) Other documents designated by the GIO.
Chinese translations must be provided for any foreign-language versions of documents mentioned in the subparagraphs of the preceding paragraph. Certified Chinese translations shall be provided for documentary proofs of the foreign motion picture production enterprises’ legal registration and for shooting films mentioned in subparagraphs 2 and 4 of the preceding paragraph.
Foreign motion picture production enterprises that obtain funding shall submit an application and receipt to the GIO within 20 days of delivery of the GIO’s letter of notification. Applications filed after the deadline or without receipts shall be deemed to have waived the right to receive funding.
Sanctions for Violation of Directions
Should an applicant use false documents to apply for funding, the GIO may revoke its qualification to receive funding. In addition to unconditional refund, the applicant shall also pay one-tenth of the total amount of the approved funding to the GIO as compensation. Furthermore, the applicant shall not apply for any awards or funding provided by the GIO within three years from the date its qualification is revoked.
Any ROC business operators in related industries, cast or staff members who provide false documents to an applicant applying for funding shall be held legally responsible for such action. Furthermore, he or she shall not apply for any awards or funding provided by the GIO within three years from the date the GIO declares that such an action violates regulations.
Note: In case of any discrepancy between the Chinese original and this English translation, the Chinese text shall prevail.