Tax relief for the movie industry

MANILA, Philippines - Buhay Partylist Rep. Irwin Tieng recently gifted all members of the local entertainment industry with a timely Christmas present: The passage of House Bill 4367 or the Lowering of the Amusement Tax bill.

As the principal author of the bill, he believes that the local industry — theater, film and/or other forms of entertainment — produces the best talents worldwide. Unfortunately, these talents could not be harnessed because of many factors, including heavy amusement taxes. Luckily, after a few months, the House Bill was passed into law as Republic Act 9640. It reduces the rate of amusement tax from 30 to 10 percent on gross receipts of admission fees on theaters and cinemas, amending Section 140 of the Local Government Code of 1991.

“The industry deserves this help from the country’s legislators,” says Tieng. “It is one of the early Christmas gifts we could give to our brothers and sisters in the industry.”

He adds that the law will encourage industry shakers and movers to invest more. Local theater and film producers can make quality films that are culturally, politically and economically beneficial. Live shows and other performances will also be affordable to the general viewing public — a venue for public information on the important programs and services of the government.

It could also help promote Filipino culture and values. The law will also encourage economic growth and efficiency of the entertainment industry, create new jobs, foster competition and increased reliance on market forces utilizing Filipino creative resources, thus, contributing to the Filipino identity.

“Expect better things to happen in the industry because of this development,” concludes Tieng. “I will always be a proud ally of the local entertainment industry.”