Over on the VAG Forum, withoutaboat shared a link to a video. I thought it fitting to post it here seeing that tonight marks the 82nd Academy Awards, also known as The Oscars. The video speaks to how formulaic a film tends to be to win an Oscar. It’s embedded below fr your viewing pleasure.

Speaking of the Oscars, Toronto Sun reports that there are a total of 17 nominations amongst 13 Canadians which is a record number of nominations for us with the maple leaf. But it looks like we won’t be winning most of those. Read the full Toronto Sun article to find out why.

Related posts:

1. 13th Annual Vancouver Asian Film Festival
2. The state of BC’s film industry
3. Racism. Stop It! National Video Competition

Taxes.  Every year I learn something new I wish I had known years prior. And this year is no exception. During a very in depth interview with Mark Yoshihara, CA of Backspin Entertainment Business Services, we discuss what you can and cannot expense and a few tricks to stretch those expenses further. So grab yourself a cup of coffee and a comfy chair, because we cover pretty much almost everything.

Editor’s Note: This article is intended to provide you with general tax information and should not be used as your only source of information. You should always seek the assistance of a professional familiar with your own personal circumstances for tax and financial advice.

Promotions/Marketing

This includes IMDB, Castingworkbook, demo CDs or DVDs, correct?

Yes, anything that you do to promote your business is considered a marketing expense. If you were to place an ad on the billboard, that would be an expense. Any business cards or anything you use to promote and advertise your business would qualify.

Portion of Rent

How exactly does writing off a portion of your rent or mortgage work?

It’s based on what percentage of the home space you use for a workspace. The percentage is calculated by dividing the area of your office space by the area of your entire home.  Generally speaking, it works well if you had an empty room set up as an office. Then you use that percentage to calculate the business portion of rent, mortgage interest, property taxes, insurance, utilities, strata fees & repairs and maintenance. One thing to keep in mind if you own your home, do not amortize it for business because when you sell, it will affect your tax free principal residence status.

Internet

Because the internet is generally for both business & personal use, you want to determine what percentage is actually used for business.

Phone

The business expense portion of your phone use is based on the amount that is used for business. If you’re using your personal line for long distance business calls, that’s also a business expense.

Office expenses

100% of paper, ink, pens, toner, envelopes, erasers, stamps, paper clips, staples…..basically everything you need for the office.  This would include renewable software subscriptions such as an anti-virus program.

Computer

What portion of your computer is considered an expense?

It’s amortized and the rates always change but right now, they’ve actually gone up. The current rate is 100% but you can only claim 50% of that in the first year and then claim the other 50% in the second year. This also goes for computer equipment such as scanners, printers, microphones, etc. Generally you would write off completely, anything that would be less than $200. Software is 100% over 2 years as well.

Travel expenses

Any airfare, accommodation, transportation expenses incurred during travel for business are business expenses but then again meals, even while traveling for work can only be claimed at 50%, so you want to keep track of those separately.

Meals

Speaking of meals for business. What about when attending classes or workshops? Are the meals purchased during those times an expense?

Meals when either traveling or attending conventions, conferences or similar events can be claimed.  So if you are attending an acting/film convention or conference, that would qualify.  Attending classes and workshops would not qualify.

Entertainment

No matter how many people you entertain you can only expense 50% of the bill. There are however, different rules if, for example you have a business and you’re taking out all your employees for a Christmas dinner, then that would be 100%.

Parking

It’s been my understanding that you cannot write off parking expenses incurred at parking meters because of a lack of receipt.

There is few expense categories that don’t provide a receipt and meters are one of them. If you don’t get a receipt, just document it by writing it down. Keep track of it along with your mileage. Parking for business is a 100% business expense.

Bus passes

Once again it’s a percentage of business use. So, you can write off individual transit receipts that are used for work or a percentage of your monthly pass. However, if you write off a percentage of those monthly passes for business use, that will affect your transit tax credit.

Auto Expenses

If I have this correct, you need to keep track of your km’s used for business, because this determines your percentage of business use & then, what percentage of auto expenses you are eligible to expense.

That’s correct. The business portion of gas, oil, repairs, maintenance, amortization, lease payments, insurance and interest on a loan to buy a car is determined by your keeping track of your mileage. If you don’t have your mileage recorded, the CRA will deny any automotive expenses. You must have your mileage log book.

What about when you purchase a vehicle. Is there a total of the purchase price I can write off?

When purchasing the vehicle you amortize it at 30% a year. But it’s a declining balance so you don’t write off a flat 30% a year. It’s a 30% declining balance so there’s no limit to how many years you can write this off. The cost of the vehicle is capped at $30,000.  (Read on to ‘Other Tax Questions’ to learn more about declining balances.)

Personal Development Courses

Training, Workshops, Classes, Stunt courses, Singing, Dancing – Anything you’re doing to enhance your business is considered an expense.

What about gym, yoga or Parks & Recreation memberships?

No. They do not count.

Beauty & Fashion

I’ve heard that some women write off their makeup.

If it was purchased and used specifically and exclusively for business and not for personal use, you could claim it as a business expense.

And what about clothing?

Again, if you bought clothing specifically for business use and not for personal use you can claim it.  It must be used exclusively for a specific audition or specific role.

Movies, Movie Rentals and Books

Anything that is considered research & development for your business is a 100% write off. Anything where you’re watching actors or reading up on actors or the industry is researching and developing your craft as an actor.

GST

When should the self-employed consider getting a GST number?

The Rule is once your sales or revenue gets to $30K a year, you have to get one. However there are many benefits to getting a number regardless of what your income is. Let’s say you buy a computer and pay $50 in tax. With a GST number, you’ll get that back.

Paying GST Instalments throughout the year – is that a choice made by the tax payer or by the CRA?

My advice is to file quarterly. You have a choice when you first sign up for GST if you want to pay annually, quarterly or monthly. File quarterly, because 2 things. Number 1, it forces you to do your bookkeeping every 3 months which is good incentive to avoid a huge box of receipts and at the end of the year. And the other thing too is that if you pay more GST than you receive, you get a refund from the government. And therefore if you are getting a refund you might as well get it sooner than later. As we know, some actors can go six months or longer without work so they have zero revenue, but they will have expenses.

Other Tax Questions

Are there any other receipts I should keep?

The only thing you really have to look at is ‘Is this involved with my business or not?’ If it’s iffy, keep the receipt and talk to your accountant because the receipt is your best source document. Sometimes people think the Visa statement is enough and sometimes it is good enough, sometimes not. Credit card slips or statements may not be good enough. Cancelled cheques may not be good enough. So the best thing you can do is keep the receipt.

How does a declining balance work?

This is how it works. Let’s say you buy some furniture for $1000. So for the first year of purchase you can write off 20% declining balance which is $200. However, because there is a ½ year rule, you can only claim 50%. So, instead of claiming $200 in the first year, you can only claim $100. Now what’s called your undepreciated capital cost or UCC, is what’s left over. Now you have $900 UCC to write off. So now the next year you write off 20% of that, which is $180. And now, for the year after that you get 20% of $720. You will continue to get 20% of your UCC until you there is no UCC left to deduct.

Should I prepare my taxes in tandem with my spouse or common-law partner?

It’s always better to have you & your spouse’s taxes done by the same person because you can allocate some expenses and tax credits to either individual, which may be in your benefit in lowering the total tax liability for both partners together.

If someone were to hire you to do their taxes, how would they best prepare to hand them over to you?

The best way to do it is to keep track of your own expenses is in a simple excel spreadsheet. Have different columns for different expense categories. If someone wants to bring me their receipts, it takes time to categorize and add the receipts which will increase the cost.

How long should we be holding onto our receipts?

You are required to hold onto your receipts for 7 years.

If a self-employed person has to move – are those expenses deductible?

Yes, as long as it is a distance of at least 40 kilometres.

Does it matter how much actual paid work you get to be able to write off expenses?

There has to be a reasonable expectation of profit but you don’t have to be making a profit.

Submitting your taxes.

The self-employed are not required to have their taxes in until June 15th. But if you end up owing you’re charged interest as of May 1^st. If you do owe taxes you must pay the CRA by April 30^th to avoid interest.

RRSP Contributions

Try to maximize your RRSP contribution. Not only is a RRSP a tax deduction, income generated inside your RRSP is sheltered from tax.  You can always cash in your RRSP anytime if you need the money in the future, but it will be taxed in the year that you cash it in, except if it is used for first time home buyers or for qualified education.

Tax Free Savings Account

Also, in 2009, the Tax Free Savings Account (TFSA) was introduced, whereby you can invest up to $5,000 per year into a TFSA and the income is completely tax free, including interest and capital gains. Generally the investments allowed in a TFSA are similar to the investments allowed in an RRSP.  You can carry forward any unused contribution from previous years.

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If you’re interested in handing over your tax preparation to Mark, email queries@backspin.biz or visit www.backspin.biz for more info. And remember to use your Backspin coupon from your Production Heads Coupon Book!

-Written by Patricia Cullen with special thanks to Mark Yoshihara of Backspin for his time & expertise.

Editor’s Note: This article is intended to provide you with general tax information and should not be used as your only source of information. You should always seek the assistance of a professional familiar with your own personal circumstances for tax and financial advice.

Related posts:

1. Taxes, Taxes, and Taxes
2. How not to freak out during a Canada Revenue Agency audit
3. Top 3 (and more) items for your “audition bag”

Yesterday we wrote about the recent call out from the NDP and Shawn Williamson of Brightlight Pictures to the provincial government to do something to keep the BC Film industry competitive.

Today Finance Minister Colin Hansen announced a proposal to make that happen.  If it’s approved by the legislature this would help to compete with the provinces, like Ontario, where their tax credits won over productions that were once aimed to come to BC.

Here are the specific proposals taken from their news release:

Subject to approval by the legislature, the planned tax measures include:

• New BC Interactive Digital Media tax credit for video game development of 17.5 per cent of qualifying B.C. labour costs.
• Production Services Tax Credit on labour costs for foreign productions increased to 33 per cent from 25 per cent.
• Digital Animation or Visual Effects tax credit bonus increased to 17.5 per cent from 15 per cent.
• Qualified B.C. labour expenditures cap increased to 60 per cent from 48 per cent of production costs.

If all goes as planned, film tax credits will be available for productions with the principal photography start date after Feb 28 2010. The BC Interactive Digital Media tax credit will being after Aug 31 2010.

So the question is… will this tax credit be enough to boost up our industry? I guess we’ll see.

Related posts:

1. The state of BC’s film industry
2. SAG members vote 78% YES for new two-year deal
3. Inside The Insiders event

Back in November members of Vancouver’s film industry gathered to discuss many of issues about the state of our local industry and the impact tax credits and the olympics would have (Read our coverage of the event).  A few months later and the olympics around the corner means that many projects are hitting pause on their productions for a major portion of this month.

This past Sunday, MLAs of the BC NDP, including Carol James (leader) and Spencer Herbert (arts and tourism critic) along with Shawn Williamson of Brightlight Pictures got together to send a message that the provincial government needs to take action to help save the BC film industry from wasting away.

In the realm of tax credits, we’re competing with Ontario and Quebec. Both provinces increased and expanded their tax credit program. CTV reports:

While B.C. and Ontario offer the same 35 per cent basic labour expenditure tax credit, that’s where the bulk of benefits end for projects in the Pacific Province. But in Ontario productions can also write off studio rentals, sound equipment and more – and the difference could be a deal breaker.

Back during The Insiders event in November, Shawn Williamson of Brightlight Pictures expressed his thoughts on how Ontario and BC view our industry in a different light. Ontario approaches the Film/TV industry as revenue whereas BC seems to view it as subsidy.

The Province reported this week:

Shawn Williamson, a co-owner of Brightlight Pictures, called the situation “serious.” “For the last five years, we always beat Ontario [in attracting work],” said Williamson. “Now we’re seeing quite a significant loss over the last seven months,” he said. “We need a level playing field in some way.” Williamson acknowledged there have been discussions about the situation with the provincial government. “We’re told something is imminent but we’ve been told something is imminent for months,” said Williamson.

We won’t really know until March 2 what help the provincial government will provide to ensure our province can compete with others – that’s when the new budget will be unveiled. But we do know what the BC Finance Ministry is not willing to do: “we’re not prepared to match Ontario’s tax credit.”

Check out these links for coverage:

Straight – NDP and B.C. film industry call for better tax credits
The Province – NDP seeks more aid for film industry
CTV – (includes video) Film productions opting for Ontario over B.C.

Related posts:

1. ANNOUCEMENT: BC Tax Credits for Film and Interactive Digital Media
2. Inside The Insiders event
3. [Event] The Insiders: BC Film & TV Forum

A bunch of emails come in over at the Vancouver Actor’s Guide from international (mostly from the USA) actors asking about working and auditioning here in Canada. And really, the main thing to consider is whether you have the paper work to legally work here.

You need to contact the office of Citizenship and Immigration Canada (CIC).  Because each country has different rules and regulations when it comes to working in a foreign country, find the closest Canadian Embassy, Consulate or High Commission.  Note: You must contact the location that works with your country of citizenship. If you are an American citizen then choose one of the visa offices across the US. There’s a full list of international Canadian Visa Offices on the CIC website.  They will be able to properly assess your situation on an individual basis.

Working Holiday or Exchange Programs

Some countries like Australia have established a Working Holiday Program which allows you to travel to another country and work casually to help pay for expenses as you travel around.  Of course, not all countries offer this and the ones that do have guidelines.  For example, they are generally for those aged 18 and over.  Some have a maximum age limit of 30 – 35.

Here is a short, but not exclusive, list of the pages for specific areas that have Exchange or Working Holiday programs set up. You should continue to do your own more extensive research beyond these pages, but this can give you a start.

Citizenship & Immigration Canada – www.cic.gc.ca
Australia – www.whpcanada.org.au
Austria – www.dfait-maeci.gc.ca/canada-europa/austria/embassy/swap-en.asp
France – www.dfait-maeci.gc.ca/canada-europa/france/visas/pvt-en.asp
Germany – www.dfait-maeci.gc.ca/canada-europa/germany/visa-internD-en.asp
Ireland – www.dfait-maeci.gc.ca/canada-europa/ireland/embassy/advice_about_visas_and_immigration-en.asp
New Zealand – www.dfait-maeci.gc.ca/newzealand/whp/intro-en.asp
Canadian High Commission for all of Northern Europe – www.canada.org.uk/visa-info/worker/e_stuwor.htm

Share any other resources or information you have in the comment below.

[Image Source: jstephenconn]

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Clearly the internet has had a huge affect on the film and TV industry all over the world. The distribution model has been updated, not because they wanted to, but because they had to.  The internet has also given the opportunity for smaller productions and creative professionals to be seen by a world-wide audience.  Monetizing video content hasn’t been perfected but it’s getting there… slowly.

We’ve mentioned other Vancouver-based web series on this blog in an effort to encourage you to think about the “Stop Waiting and Do Something” approach.  We have another webseries for you. Be inspired and do something about it. Other people are creating. Why aren’t you?

Here’s a brief description of The Vetala from their website:

A supernatural thriller about a hostile, yet conflicted spirit from the pages of Sanskrit mythology, and the succession of people it travels through.

Season One follows Lily Callahan and Alex Reed, two college reporters who have become targets of The Syndicate, an organized crime group responsible for the trafficking of illegal guns. Alex’s obsession with exposing the city’s gun trade places both Lily and him in harms way, giving rise to The Vetala.

Check out their first episode below and see the rest through their website: www.thevetala.com.

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1. Two Vancouver Web Series To Watch
2. Spotlight on Sara Bynoe
3. Taxes, Taxes, and Taxes

I remember back in high school when this competition came around to help bring awareness to the issues of racism. I’ve always thought it was a great way to get young people involved in discussing the ever-so-important issue. At least it wasn’t just someone just talking in front of the class, instead it got people involved and creative.

March 21 is known as the International Day for the Elimination of Racial Discrimination which was designated by the United Nations is 1966. Since 1996 the Racism. Stop It! National Video Competition has been a key part of Canada’s national campaign. This year is no different.

The gist of this competition is that youth between 12-20 years old create a video “about your thoughts on eliminating racism.” Ten videos are chosen as the winners and will be shown on national television and the filmmakers will receive an all-expense paid trip to the awards ceremony. You can check out the 2009 winning videos for some reference.

See the official website for all the details and submission guidelines.

Deadline to submit is January 15 so there’s still time to get involved.

Related posts:

1. Crazy8s – Make your film with $800 in 8 days
2. 2009 LEO Award Winners
3. Theatre Community at the 2009 Jessie Awards

Found this great clip which Anastasia Bandey posted over on her Actorworks Vancouver site.

Vancouver Casting Director, Candice Elzinga answers a question asked of her: What can an actor do to stand out amongst others in an audition? Candice has a lot of experience in this industry having worked on more than 200 films or TV epsiodes, including 44 episodes of Andromeda, and 34 episodes of Jeremiah.

Related posts:

1. 3 Business Basics As An Actor
2. Business of Voice-Over with Michael Daingerfield
3. The Celluloid Experience

We’ve talked about creating your own work, like those who have stepped up to create their own webseries. Well many people start out by getting into one of the local film competitions such as the Mighty Asian Moviemaking Marathon or the BloodShots 48-Hour Horror Filmmaking Challenge. These types of events can not only be fun and really challenge your ability to create a interesting story in a short amount of time, but it can also help to get seen within the greater film community and give the extra push to a full time career.

Crazy8s is another great film competition in Vancouver which has helped to bring recognition to some of Vancouver’s filmmakers. Some of those who went through Crazy8s include Tracy D Smith, Carl Bessai, and Zach Lipovsky. Zach even made it to the top five on the reality show “On The Lot,” created by Steven Spielberg, where aspiring filmmakers compete to become the next big Hollywood director. Zach has since signed as a Director with Endeavor Agency in LA, and is working on his first feature film.

So Crazy8s is back again for their 11th year and for the first time, applicants are invited to submit a 5-minute video pitch of their film idea. You will need to register on December 13 but space is limited. Below are the details. This would be a great opportunity for many of you to showcase your creativity, hard work, and talent.

Sunday, Dec 13, 2009 – Pitch Registration
Space is limited, and you must sign up in person to be eligible to submit.

Friday, Jan 15, 2010 – Video pitches due

Jan 29 and 30, 2010 – The top 40 video pitches will be selected to pitch in-person to a jury of industry professionals

12 semi-finalists will be chosen.

Each filmmaking team will be paired with a professional story editor to craft their script before presenting it again to the jury.

Of the 12 teams, 6 finalists will be chosen.

Those 6 teams will receive $800 and tens of thousands of dollars in production services – everything they need to make their film.

Production and post-production will take place over 8 days (exact dates TBD) in late March or April, 2010.

Finished films will be screened at a gala screening at the Vogue Theatre.

For details on the pitch sign up and info session go to: http://crazy8s.cc/video-pitch.html

Good luck to everyone who plans on pitching!

Related posts:

1. ANNOUCEMENT: BC Tax Credits for Film and Interactive Digital Media
2. [Event] The Insiders: BC Film & TV Forum
3. Ticket Giveaway – Reel 2 Real Film Festival for Youth

Pacific Theatre is producing the great classic, The Lion, The Witch, and The Wardrobe running now until January 2 2010.

From the novel by C.S. Lewis, this splendidly theatrical invention preserves all the magic of the twentieth century’s best-loved fantasy classic. Four young adventurers pass through a doorway to a land in the grip of an icy queen, where it’s always winter and never Christmas – but Aslan is on the move!

Ron Reed, Founding Artistic Director of Pacific Theatre talk a bit about the production.

Showtimes

Wednesday – Saturday Nights at 8pm and Saturday matinees 2pm (Until January 2, 2010)

Location

1440 W 12th Ave, Vancouver BC

Tickets

Regular priced tickets are $34 for weekend evenings and $30 for weekday evenings. Further ticket prices available on their website.

PROMOTION: 2 for 1 coupon available in the Production Heads Coupon Book. Pick one up today at Biz Books for $25 or have it mailed to you by ordering online. Enjoy a night out with The Lion, The Witch, and The Wardrobe and save money at the same time.

Related posts:

1. ACTRA Members Get New Agreement
2. Theatre Community at the 2009 Jessie Awards
3. [Event] The Insiders: BC Film & TV Forum