A Long Delay

Posted: April 13, 2011 in News

By : Marvel Sutantio | April 13, 2011

First of all, I would like to apologize for the lack of updates. Aside from busy with tight deadlines at work and personal life, there have been no substantial news regarding the crisis. No light at the end of the tunnel, only utter darkness.

Various news come and go, most with great uncertainty. There have been word that there are 3 movie importers who actually owed the country i.e. Directorate General of Customs & Excise around $3.6 million, their cut of the pie from all the profit the distributors made (thus the reason of all the commotion.) But this is left unconfirmed and vague. The issue was dropped almost as suddenly as it appeared.  There was no confirmation whether those 3 importers have actually paid their dues or not.

And even worst, remember the WTO’s Valuation Agreement from my previous posts? Not even a single word came out regarding this matter. There was no clue whether the distribution rights for the movies is part of the agreement or not. So I guess in Indonesia, you can break all the WTO’s rules you want, and the won’t even know. I’m surprised the MPAA didn’t look into the matter, reporting it, etc.

In the end, my sources said that everything should be resolved in May. That the tax will only be applied once (compared to the previous regulation, where a movie can be taxed multiple times, totaling at a whopping 50%). But the future still looks grim, since they also reported that the importers will only import low budget, C-B Movies. The possibility of us getting AAA titles are slim. It’s still possible, but I won’t get my hopes up.

From this writer’s point of view, this whole mess was due to those importers unresolved “business” with the Directorate General of Tax & Excise. That, and the fact that they want to boost the National Movie Industry, not for the cultural or creative side, but for its financial one. Since the local movie makers & everyone involved in the process have to pay more tax to the government, in terms of shooting location, actors, actresses, directors, script writers, choreographer, stunt men, production house, props, right to shoot, right to distribute, merchandising, advertising, etc.

The cinemas are still filled with movies from 2008-2010, pirated movie dvds reign supreme, now even more than ever. This is Indonesia, this is our future.

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