EU – Baltic States, Good for Business, Lithuania, Markets and Companies, Taxation

Ramunas Skikas, managing director of the privatized Lithuanian Film Studios and a member of the Lithuanian Producers Association, said Wednesday a scheme that allows third-party investors to claw back tax on in-country spending on film and television productions worth at least USD 57,000 is likely to be greenlit by members of parliament May 8. ''We are confident we shall be celebrating that day,'' Skikas said Wednesday at an industry day event hosted by the Vilnius Film Festival, reports LETA/ELTA.

The scheme – an amendment to the corporate profit tax law – will allow companies to offset investment in film productions against tax. By using other existing tax rules investing companies can legitimately make 11.25% return on their investment. Skikas said large cash-rich companies such as banks, brewers and distillers and others in Lithuania are likely to take advantage of the scheme.