The animation sector in Kelowna is hopeful the provincial government will reverse its decision to kill a regional tax credit relied on by local studios.
Surridge, after nine years of working as a partner with Kelowna’s Yeti Farms, is in the midst of launching his own studio and has 25 people working on a new project under the Monster Puppy Productions banner. But with the tax credit gone, that overflow work will either be handled in-house by the big studios or overseas, they said. As the big studios get bigger, the animation sector will get more concentrated in Vancouver, which has better infrastructure and access to film executives.
Wood said the larger studios will not be impacted by the removal of the tax credit in a big way, “They've got deep pockets, they can handle this.” “Additionally, they are compelled to enroll in our school because of our historic ability to place them in smaller, local studios like Artists Animation Studio , Monster Puppy, and the local satellite studio of Bardel Entertainment.”
She admitted that the move could have some unintended consequences for studios that were not abusing the credit.
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