TAX INCENTIVES
Spain has a very attractive tax incentive system for national and international audiovisual productions, designed to attract investment and promote filming within the country. This incentive is mainly regulated by Article 36 of Law 27/2014 on Corporation Tax, which allows the production company to apply a tax deduction of 30% on the first €1 million of eligible expenses incurred in Spanish territory and 25% on the rest of the expenses, provided that these exceed a minimum threshold of €1 million and meet certain formal requirements (cultural and nationality certificates, among others).
This incentive can mean a very significant reduction in the net production cost for films, series, documentaries or animation projects that decide to shoot in Spain, as it allows part of the investment to be recovered through a deduction in the producer’s corporation tax.
The basis for the deduction includes expenses directly related to production—such as the cost of creative personnel, technical services, equipment rental, or local suppliers—provided that at least 50% of these expenses are incurred within the national territory. The maximum possible reimbursement can be up to €20 million per production, and in the case of series, it is usually applied per episode with a cap of €10 million.
Although these incentives are national, they are also combined with regional aid, which is relevant for cities such as Vigo and the autonomous community of Galicia. The Xunta de Galicia also offers direct aid for audiovisual filming, with competitive funds of several million euros aimed at promoting filming in the region and encouraging at least 20 days of filming with minimum expenditure in Galicia.
This means that a production that chooses Vigo as a location can not only benefit from a 30% state tax rebate, but also qualify for additional regional subsidies, further reducing costs and making Vigo a competitive destination for international audiovisual productions. In addition, numerous film shoots have chosen Vigo in 2025, consolidating the city as an emerging film set with an impact on the local economy and job creation.