Film industry threatens hunger strike against new tax

BY AVASH KARMACHARYA

KATHMANDU, Oct 1 - The Nepali film industry has not been in the best of health for a while. Just on the eve of the festival season, it is in dire straits. After a complete shutdown of 114 cinema halls across the country, Monday, film distributors, ...

...and producers are now threatening to demolish the Film Development Board (FDB) building if the government fails to withdraw the new tax imposed on the industry.The trouble started on September 19 when Minister for Finance Dr Baburam Bhattarai, in the fiscal budget, imposed a 15 percent 'development tax' and 20 percent 'minimum guarantee' tax on the industry. While this has not affected ticket prices, cinema halls now need to pay a lot more in tax to the government under the new tax policy.

Nepal Film Producers’ Association, Nepal Film Association and Film Federation have joined hands and issued a 15-day ultimatum to the government, or else they will go on a fast-unto -death.

"If we don't raise our voice today, it'll be too late for us to protect the Nepali film industry," says Ashok Sharma, president of Nepal Film Producers’ Association. "The government did little for the film fraternity in the fiscal budget of 2065/66 BS. To this day, we don't remember any Nepali cinema not doing well in cinema halls outside the valley. Now, I sense the whole scene will change.

To protest against the new policy, Film Federation and Nepal Film Producers' Association invited film artistes at FDB, Chabahil on Monday. They padlocked the FDB office and picketed its premises.

But some others are taking a more reconciliatory approach. Yuvaraj Lama, a renowned filmmaker, explains, "What it looks like is not what it is. Many are still confused what this protest is all about. If you're thinking that this protest is to protect the Nepali film industry, then you're mistaken.

If a cinema hall earns Rs 50,000 a day, 60 percent of that will be refunded to producers, and the FDB will be taking only 5 percent, he explains. "That is a very small amount. The producers' demand is a complete waiver of the development tax from Nepali films.

According to Lama, the Film Federation is inciting the entire industry. "When FDB Chairman Ishwar Chandra Gyawali has promised to be flexible toward Nepali films, what are they still bargaining for? If development tax system is regulated in cinema halls, everything will be transparent and those who are extorting black money will have a lot of problems.

Add to: del.icio.us | Digg