MINISTER’S REPLY

Hokitika Guardian, 8 September 1930, Page 2

MINISTER’S REPLY

The Hon. 1\ A. de la PerreiUe, in' reply rend a statement which, he said had been considered 'by the Government. It did not wish to act unfairly to the film people, and the represent-/ ntions would be placed before Cabinet. He had a feeling that the theatres were doing well and this was a time when everyone should help- the Government in its difficulties. From information before the Government it was questionable whether the film renters’ action was aimed wholly or even mainly at the film tax. Sir Victor Wilson, president of Motion Picture Distributors, estimated that the Customs duty placed on film during the present year in Australia would produce a revenue of £447,000, which appeared to be approximately the same percentage of Australian film rentals as the New Zealand Customs and film hire tax together were of the New Zealand film rentals. Figures in the Government’s possessioh showed that New Zealand exhibitors were paying in extra film hire not only the whole of the film hire tax, but a considerable margin in addition. The net receipts from New Zealand film hires last year totalled £17,000, but this .year the amount would be at least double.

“As the percentage of taxation to film rentals is approximately the same is Australia and New Zealand,” added the Minister, “it is not considered likely that the Hays organisation, which controls the American picture industry, would authorise any interference by local representatives of the industry in what is purely a matter of domestic politics.” The Minister suggested that the film industry, instead of complaining of : necessary taxation, should congratulate itself that owing to the phenomenal success of the “talkie” it was in receipt of larger revenues in a time of depression than in the most prosperous d«ys of the silent film.