To Aid Empire Film Industry

Sun (Auckland), Volume I, Issue 212, 26 November 1927, Page 5

To Aid Empire Film Industry

QUOTA SYSTEM FOR N.Z. TAX ON HIRING RECEIPTS (THE scy S Parliamentary Reporter.) WELLINGTON. TfMlav. The C inematograph Films Bill has for its object the encouragement of the film industry in the Empire. It is based upon quota system on similar lines to the British Bill. The measure will not be proceeded with this session, but is put forward for the purpose of discussion and consideration. Incidentally more revenue will come into the public purse from the tax which the Government proposes to levy upon the exhibition of films within the Dominion. The tax. which will be based on the gross receipts from the hiring of films throughout the country, ir expected, upon a rough estimate of the Prime Minister, to produce something between £30,000 and £40.000. This is not as as would have been collected by the Government under the 3d a foot tariff proposals, wlfich were dropped by the House during the Customs tariff revision. The tax will be collected upon a basis of 5 per cent, for New Zealand films. 7$ for British, and 121 per cent, for foreign. The tax will not be included as assessable income when computing income tax payable by the renter. PROTECTING EXHIBITORS The Bill prohibits agreements to exhibit films more than 12 months after the date of agreement. A film mustbe shown within 12 months of the date of agreement. A penalty of £IOO is provided for a breach of this. An exhibitor is given the right to reject 5 per cent, of the films he has contracted for prior to their first exhibition in New Zealand. At present exhibitors have to take what they can get. All films to commence exhibition to the New Zealand public after the operation of the Act must be registered before October 1 next according to whether New Zealand/xiritish, or foreign. A penalty of £2O is imposed for breach of this section. Discretion as to registration of a film is in the hands of the Minister of Internal Affairs, while the film censor may disapprove registration and cancel it. Various machinery clauses safeguarding the interests of the authorities in respect to correct registration, and saving provisions, if registration is not satisfactory, are included in the Bill, which provides also for appeal to a magistrate by a person registering a film. Anyone exhibiting a film unmarked with a registered mark, or incorrectly marked, is liable to a fine of £2O. QUOTA REQUIREMENTS The quota requirements call for every renter to have a licence, on and after January 1, 1929, holders being restricted to those having a place of business in New Zealand, and offenders being liable to a fine of £2O. Exhibitors are to register similarly to renters from July 1, 1929.

The Bill prescribes quotas for approximately the next 13 years, the renters being required to give a lead to the exhibitors in the early stages of the scheme. During 1929 the renters are to take at least 7J per cent, of British or New Zealand films, and in the next two years 10 per cent. In 1932 the percentage rises to 12J, in 1933 to 15 per cent., and in 1934 and 1935 to 171 per cent. Thereafter, until 1940, the quota of Empire films is to be 20 per cent.

The Bill divides films into six c lasses, according to whether they are British, New Zealand, or foreign, and by their length, long films being those over 3000 feet, and short films those under that measurement. Serial films are not to consist of more than parts, of not more than 2000 feet each. To qualify as British, a film must have been made by persons who were British subjects or by a British company, and the author of the scenario and the producer must have been British subjects at the time the film was made. The studio scenes must been photographed in a studio in the Empire elsewhere than in New Zealand.

Moreover, not less than 75 per cent, of the salaries, wages, and payments specifically paid for labour and services in making the film must have been paid to British subjects, or persons domiciled wuthin the Empire. The 75 per cent, is not to include payments in respect of the copyright and of the salary of one foreign actor or actress, but is to include the payments made to the author of the scenario. A New Zealand film is al: o to comply with those requirements, but the photographic work must have been done in the Dominion.

Topical, news, scenic, advertising, educational, industrial, scientific and natural history films and films which were released in the country of origin more than two years prior to the date of registration in New Zealand, are not to be taken into account in fixing the quota. DELAYED OPERATION The Bill, if passed next session, will come into force on October 1, 1928, and after that date there will be restrictions on advance bookings, and also relief from “blind” booking. The Bill provides for the prohibition of agreements to exhibit a film at a dat* 1 more than 12 months after the date of the agreement, under penalty of a fine for £IOO. Then existing agreements will be safeguarded up to December 31 1928. Where annual contracts are entered into, the - xhibitors are to have the right to reject 5 per cent, of the films for the renting ! of which they entered into agreement. The Prime Alinister said the clause was in substitution for the British provision that no agreement to rent a film should be valid until the film was actually in the country. It was not considered that such a provision was feasible in New Zealand. The provisions of the Bill were kept nine months behind the proposed provisions of the British Bill, in order to allow time for the arrival of films in New Zealand. Mr. Coates assured the House that the Bill had been drafted after con- | sultation with many of the interests affected, who had made suggestions and alteration. He believed the measure, as brought down, would be generally well received by those <••!!- corned. The Bill requ the Ur.it Utow A