Hugh Jackman to PM: it’s important that blockbusters come to Australia
Australian actor Hugh Jackman has spoken to Prime Minister Julia Gillard about the importance of attracting international blockbuster productions to Australian shores.
When asked about the likelihood of a bigger tax break to entice more international productions to Australia, the PM told Encore: “Hugh’s certainly spoken to me about the importance of this, for getting these big movies, these real blockbusters here in Australia. It is something that Minister Crean is working his way through as he deals with our cultural policy.”
The tax break – called the location offset – is currently set at 16.5% of how much a production spends in Australia. A rise of 30% has been suggested by the industry, and backed by the MEAA with a petition, to bring more productions here.
Gillard was speaking at Sydney’s Fox Studios with Jackman and director James Mangold, ahead of The Wolverine beginning production next week.
Sorry Hugh but spending $12.8 million of taxpayers money in a one-off grant is just another manufacturing subsidy for Hollywood. The Federal government gets no recoupment position in the movie and no profit (though getting profit out of Hollywood can be illusory). The benefits are completely short term and I suspect Mr Jackman’s substantial fee is not subject to Australian tax and fed through a third party low tax country. The Federal and NSW governments are fools to buy into Hollywood subsidy shopping. Better to spend the money on the CSIRO (the guys who created WiFi) and scientific research. Government’s are full of clever country rhetoric but resort to this level of subsidy and the MEAA signs petitions in support. Sorry Julia and Simon but you’re short term fools.