COVID-19 aid and tax breaks for Spain's cultural sector

Automatic summary, not yet reviewed

1. The State grants 20 million euros to the Sociedad de Garantía Recíproca Audiovisual Fianzas SGR so it can open funding lines for the cultural sector worth 780 million euros in total, with a 0.5% fee for opening loan guarantees.
2. Artists working in public performances under the General Social Security system who do not meet the usual requirements can exceptionally access unemployment benefits in 2020, lasting 120 or 180 days depending on their days of activity.
3. Extraordinary one-time grants are created, awarded through competitive review, for performing arts and music (23.7 million euros managed by the INAEM), for independent bookstores (4 million) and for Spanish contemporary art (1 million).
4. For public contracts for artistic performances and shows of up to 50,000 euros suspended because of COVID-19, an advance of up to 30% of the price can be paid; if the contract is terminated, compensation of between 3% and 6%.
5. Film aid is made more flexible: deadlines for shooting, release and cost reporting are extended for films funded from 2016 to 2019, the number of screens required for a release is reduced, and a release through TV or streaming platforms counts as a commercial release until August 31, 2020. Movie theaters can also receive direct grants of between 8,000 and 32,000 euros depending on their screens.
6. Tax incentives for film and philanthropy are increased: larger corporate tax deductions for film productions and an 80% income taxincome tax The personal income tax (IRPF in Spain): what people pay on what they earn from work, business or savings. deduction for donations up to 150 euros (35% on the rest, 40% for repeat donations). Several cultural and sports events are also declared events of exceptional public interest, and the price bands for public university tuition are eliminated.

Who it affects

• Cultural sector companies and professionals: Access to guaranteed funding lines and extraordinary grants.
• Artists in public performances: Exceptional access to unemployment benefits in 2020 even if they do not meet the ordinary requirements.
• Film producers and movie theaters: More flexible deadlines to meet aid conditions and direct grants for theaters.
• Independent bookstores and art galleries: Extraordinary grants to keep their structures running.
• People who donate to philanthropy projects: Higher income tax deduction percentages from 2020.

Words worth knowing

Aval (loan guarantee)

A guarantee under which an entity promises to repay a loan if the borrower cannot.

Concurrencia competitiva (competitive review)

A process where several applicants request the same grant and it is awarded to the best applications under set criteria.

Crédito extraordinario (extraordinary credit)

Additional money added to the State budget for an unplanned expense.

Acontecimiento de excepcional interés público (event of exceptional public interest)

An event declared of special interest that allows donors or sponsors to get tax benefits.

Cuota de pantalla (screen quota)

The minimum percentage of European films that movie theaters must show.

income tax

The personal income tax (IRPF in Spain): what people pay on what they earn from work, business or savings.

It summarizes the law as published in the BOE. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries