Movies: Disney Accused of Withholding Hundreds of Millions

[Ben Grimm]

Disney accused of withholding hundreds of millions of dollars from 'Avatar' sequel financier

Disney has been accused of withholding profits from TSG Entertainment, a long-time financing partner of its 20th Century Fox studio.

www.cnbc.com

Click to read more...

 

[mrmovies779]

I read the title too quick and I thought it said "Disney accused of withholding hundreds of minions"

 

[Mario_is_BACK!!]

I read the title too quick and I thought it said "Disney accused of withholding hundreds of minions"

BANANA

 

[The Crypto Guy]

Disney is very quickly going down the drain. How unfortunate.

 

[Jumptheshark]

Disney accused of withholding hundreds of millions of dollars from 'Avatar' sequel financier

Disney has been accused of withholding profits from TSG Entertainment, a long-time financing partner of its 20th Century Fox studio.

www.cnbc.com

This is not new

Look into Hollywood accounting on line

 

[beowulf]

This is not new

Look into Hollywood accounting on line

Exactly, all of them do it which is why actors etc learn not to ask for a % of net but of the gross etc. I mean according to Hollywood accounting at the end of the day almost all movies don't make any money...

 

[Jumptheshark]

Exactly, all of them do it which is why actors etc learn not to ask for a % of net but of the gross etc. I mean according to Hollywood accounting at the end of the day almost all movies don't make any money...

The empire strikes back has still not broken even

 

[Ben Grimm]

The empire strikes back has still not broken even

This is not new. Look into Hollywood accounting online.

 

[Richard]

Look at sports accounting if you want to see another example

 

[Hasbro]

Look at sports accounting if you want to see another example

Or the recording industry.

 

[beowulf]

This is not new. Look into Hollywood accounting online.

What makes me laugh most is how Hollywood is first in line with their hand out for grants etc. to make movies, so no problem taking pubic funds. But then they turn around and do everything they can to avoid paying taxes on any profits.

 

[CanesUltimate11]

What makes me laugh most is how Hollywood is first in line with their hand out for grants etc. to make movies, so no problem taking pubic funds. But then they turn around and do everything they can to avoid paying taxes on any profits.

That’s basically any large (or small) corporation ever.

 

[beowulf]

That’s basically any large (or small) corporation ever.

True for the most part but Hollywood is particularly bad, I have never see a movie in theaters that does not have 4-5 credits at the end from various jurisdictions that provided money.

 

[x Tame Impala]

Bill Burr talking about Hollywood accounting in regards to stand up comedy, music, and tv a little bit.

 

[kook10]

Disney is a public company. There is a real limit to what sort of shenanigans they can pull. SEC regulations and SOX requirements are real and a big deal at the studios. This is really just an issue of a smaller fish with a bad lawyer signing a bad contract. Sometimes that plays in court though.

 

[RandV]

True for the most part but Hollywood is particularly bad, I have never see a movie in theaters that does not have 4-5 credits at the end from various jurisdictions that provided money.

Someone with industry knowledge can correct me if I'm wrong but for professional productions I don't think those credits are jurisdictions that "provided money". Rather the production is coordinating and working with these entities, and what they're looking for from the jurisdictions is tax incentives.

As while this is something all corporations do a production set rolling into town is a huge economic boon for the local economy. They roll in, typically only require a few locations which they pay permits for, spend spend spend, then pack up and leave. For all the industry's to complain about corporate handouts for I feel like 'Hollywood' is one of the least offensive.

 

[kook10]

Someone with industry knowledge can correct me if I'm wrong but for professional productions I don't think those credits are jurisdictions that "provided money". Rather the production is coordinating and working with these entities, and what they're looking for from the jurisdictions is tax incentives.

As while this is something all corporations do a production set rolling into town is a huge economic boon for the local economy. They roll in, typically only require a few locations which they pay permits for, spend spend spend, then pack up and leave. For all the industry's to complain about corporate handouts for I feel like 'Hollywood' is one of the least offensive.

It's a mixed bag. Some states have non-transferable tax credits, some you can sell through a broker at a discount, and some are real rebates. The rebates/grants essentially work the same and are received after production and based on minimum qualified wages and in-state spend and require CPA audit. Projects are greenlit with contingent incentive approval in hand and based on a net budget number that includes anticipated incentives.

Incentives Map

View the entertainment industry’s most comprehensive film and television production incentive guide for information on the latest Grants, Rebates, and Tax Credits.

www.mediaservices.com

 

[TheGreenTBer]

I read the title too quick and I thought it said "Disney accused of withholding hundreds of minions"

That...is probably also true.