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An essential component in minimizing net costs is the UK film tax credit, which reimburses a portion of eligible production expenses—up to 25%. For "The Little Mermaid," Disney claimed around £50 million (~$60 million) in tax credits, effectively reducing the net expense of the project.
The net production cost after tax credits and revenue from the sale of film rights is estimated at around $300 million. Nonetheless, the costs still outstrip revenue when considering the overall financial picture.