man in suit reading newspaper

News + Blogs + Podcasts

Can you exit your Film Scheme without being taxed?

The answer is ….. quite possibly.

Where clients have succeeded in claiming film-related losses, there are exit provisions taxing them if they receive a capital sum for “getting out”.

However, all is not lost.  These exit provisions provide for a charge which depends on there being a ‘trade’.   Recent cases Eclipse Film Partners (No 35) LLP v HMRC [2015] STC 1429 and Samarkand Film Partnerships No 3 v HMRC [2017] STC 226 establish that ordinary film leasing is not a trade. Thus, exits are possible.

There are other relevant provisions, but these can be dealt with.

Contact us at to explore the options available for you and your film-scheme clients.