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LEGISLATION Italy

Operating tax: Yes or no?

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In the past few weeks four film law proposals have been submitted to Parliament, with a fifth one is on the way. All come from the majority but one, which is cross-party. The most articulate reform to achieve majority consensus was drafted by Deputies Vittoria Franco and Andrea Colasio, who presented it yesterday to the press and industry professionals.

As we have already described in previous months, this draft of the law on the film and audiovisual industry is based on the institution of a National Film Centre (after the French model); a tax shelter; antitrust norms that include the introduction of regulations for equitable negotiations between producers and communication operators in the cessation of rights to works; obligatory programming for broadcasters that promotes European cinema; and taxing various subjects operating in the field, to be used as a new form of film financing.

It is precisely the latter "operating tax" that evokes hesitation within the industry. Against it is Sky Pay-TV, according to whom "Italian cinema cannot be revived by imposing new taxes". Whereas Giancarlo Leone, Vice-Director General of RAI, feels that funds should not be further withdrawn from pubic monies but, rather, from those "who operate in the market and do not contribute equally", exactly like Sky.

For its part, AGIS (an umbrella association within the entertainment industry) is not against the operating tax if, explained its director Alberto Francesconi, "broadcasters private and public, free and Pay, home video, Internet providers and telecommunications operators will all contribute. But we will oppose it if the tax will be imposed only, or in disproportionate measure, upon cinemas".

(Translated from Italian)

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