Filmmakers "call for help"
The Guardian published an article titled "More harm than good: What does Trump's tariffs really mean for Hollywood? ".
At the same time, many organizations representing the US film industry drafted a letter to President Donald Trump after he threatened to impose a 100% tax on films produced outside the US.
The signature of the leaders of the American Association of Directors (DGA), the US Television and Television Artist Federation (SAG-AFTRA), American Writing Association, the International Union of Theater Staff (IATSE), TeamSters Federation (the largest private labor union in the US), US Manufacturing Association, Producers United, Cinema Association (MPA), MPA and Independent Movies with independent transmission along with the same episode and transmission with independent transmission along with the same episode with the same versions as the same drama and the episode. Filmusa.
In addition, two of Trump's three special ambassadors, Jon Voight and Sylvie Stallone, also supported the letter from the US film industry.
According to Deadline, Voight and his colleagues said the 10-20% federal tax rate could be "imposed" on the tax rate for US filmmakers. But an American producer who chooses to film abroad will face a tax of up to 120%.
In addition, experts also reacted because President Trump's tax declaration was not detailed and the legal basis was unclear.
The Guardian commented: "It is unclear how the tariffs on the film industry will operate. Trump did not say whether he would impose a 100% tax on streaming platforms or films released in theaters, or whether the tariffs would be based on production costs or box office revenue.
It is also uncertain whether films produced in association with the US and other countries such as " James Bond" or " mission: impossible" will be exempted from discounts.
The 100% tax rate is said to be "a rough tool" that will hinder rather than help Hollywood compete with Australia, the UK, Canada and other places.
They can push up production costs, leading to lower output, making it difficult for distributors and less choices for consumers.
The film industry needs development momentum
Ava DuVernay, a filmmaker who has won many major awards, said: It is not tariffs but tax incentives, that is the driving force for our industry.
Hopefully we can be more informed and review this issue with real suggestions to help filmmakers return to work, without affecting an already struggling industry."
According to the New York Times, the letter sent by entertainment organizations to the White House focuses on three demands for tax changes as follows:
Organizations proposed a corporate tax rate of 15% (down from 21%) for domestic production activities, including film and television production.
They also seek an expanded tax provision that would allow a deduction of up to $15 million in eligible film and television production costs in the year of issue, rather than the year of release of a film or a TV show. The group also asked to increase the limit to $30 million.
In addition, Hollywood filmmakers have proposed allowing film studios and production companies to shift losses to pre- and post-tax years.
Currently, more than 80 countries have preferential production tax rates, and as a result, many projects expected to be filmed in the US have moved elsewhere. Bringing many projects back to the US will require a multinational approach and effective policy solutions.
We call on all governments to be determined and protect systems that support film creation and independent listening so that culture, creativity and democratic access to diverse stories on screen can continue to develop, the letter to President Trump wrote.
