Canadian Film Weekly (Apr 7, 1948)

| Page 10 Canadian FILM WEEKLY April 1, 1948 Ontario’s Ticket Tax Too High missions of $2 or more. Provincial Treasurer Leslie M. Frost, who introduced the bill, Said that he expected Ottawa to vacate the amusement tax field at the end of its fiscal year, which is March 3ist, although the federal minister of finance, the Hon. Douglas C. Abbott, stated that his government’s policy would not be known until the budget comes down in May. The bill is “An Act to impose a Tax on Amusements to Provide for Greater Aid to Public Hospitals” and the money collected under its authority will be placed in a special fund. The national total of the amusement tax is between $14 and $15 millions, of which Ontario provides ‘about half. MacLeod recalled to the Ontario legislature that relations between the provincial and federal governments were strained and asked: “If it doesn’t withdraw by 1951, how are you going to cope with the hospital problem?” To which Frost replied: “I can’t think any government inhuman enough to take out its spite on the Ontario government at the expense of sick people.” Cleve Kidd, secretary of the . Ontario Federation of Labor, af filiated with the Canadian Congress of Labor, told the press that his organization’s request that no amusement tax be levied had been ignored. “If the tax were to be used to furnish social services we would take a different attitude. The hospitals are in a difficult financial position because of increased costs, but I don’t think the workers should be asked to foot the bill in making up the deficit.” Elimination of the amusement might provide some additional recreation for the workers, who could afford ~ very little now. ‘The tax was described as a discriminatory measure against the working people by A. [MacArthur of the Ontario Provincial Federation of the Trades and Labor Congress. The workers made up the great majority of movie patrons and the tax was not the proper approach to the hospital problem. The Toronto District Labor Warren Hymer Dies Warren Hymer, film actor who. specialized in soft-hearted tough Guy roles, passed away recently in Hollywood of a stomach ailment. He appeared in such films as “Little Miss Marker,” “Born Reckless,” ‘Goldie’ and ‘Meet John Doe.” (Continued from Page 1) Council had protested all along, said its president, William JenOves, games are about all the entertainment the average worker can afford out of his earnings.” Ontario theatre men have been asking for several years that the amusement tax, a wartime measure, be dropped on the grounds that it is discriminatory and hardest on the people who earned the least. Because of this and the rise in the high cost of living patronage had decreased generally. They had agreed to pass the entire savings on to the public if Ottawa dropped the tax and provincial governments did not re-impose it. Ontario last had an amusement tax in 1937, which had lasted until then from the time of its imposition during the first world war. The Liberal government of Mitchell Hepburn ended it. Provincial Treasurer Leslie Frost of the present Conservative govern “because movies and ball . ment is also the senior officer of the Motion Picture Censorship and Theatre Inspection branch. The theatre industry would be willing to bear a fair share of any social service, stated Clare Appel of Odeon Theatres, who is president of the Motion Picture Theatres Association of Ontario, but he didn’t believe that a single industry should be asked to carry it. Theatre business had been affected between 15 and 25 per cent since the end of the war, he said, because 80 per cent of the people who attend tho movies are in the average and lower income tax groups and there were affected most by rising costs. “My own opinion is that they'll have a little more trounle with this one than they had with the gasoline tax, for this is simply a case of relieving the rich man of an obligation and passing it on to the poor man,” said J. J. Fitzgibbons, president of Famous TEN PER CENT ENOUGH (Continued from Page 1) on almost any other product or service? While it may be argued that it is better to tax “pleasures” than essentials, there is still a limit on how far any tax should go. It has been pointed out that other Provinces maintained their individual amusement taxes even after Ottawa invaded the field. That is true. In Quebec the double levy has meant an impost in excess of 40 per cent on cinema and other forms of entertainment. But this does not make a high tax acceptable. Moreover, it is surely to be assumed that once Ottawa vacates the field, such taxation in the other sections will maintain a reasonable level. _Justification of the 20 per cent Federal tax was never sought on the grounds that it was fair or reasonable. It was a wartime levy, imposed at a period of peak employment, when wages were relatively high and the Government was determined to drain off as much of the purchasing power so distributed as it could. This being the prime consideration, equity could have had little influence on the fixing of the rate. Wartime is not peacetime, and there is to be consider: ed the possibility of diminishing returns, Taxation can produce that result. At present there is no doubt about the “recession” which movie houses and other amusements are experiencing. A tax which contributes to the decline in their attendance must defeat its purpose. All these factors undoubtedly are known to, and probably have been considered by the Provincial Treasurer. M they will be considered by the public, ost assuredly There is no contradiction in questioning the amount of the tax while holding reservations ag of the aid to be provided. There are which, with more equity, might be em ample, it might have been possible to le amusement tax and divert Hospital Aid Fund from the is a matter which can best be to the adequacy other revenues, ployed. For exvy a 10 per cent supplementary sums to the liquor profits, However, this judged when the amusement tax is examined in the broad frame of the new Budget Players Canadian Co ‘It is now up to the ene Ontario to decide about the = We, as a@ company, won't q anything about it. We can’t a5 anything About it. The good ota public will just have to pay th shot,” he said. ' The Act, short title of Which is “The Hospitals Tax Act, 1948» will become effective by proci,. mation as soon as the Dominion vacates the tax field. Several of its clauses £0 beyond those in the federal regulations dealing with the same sypjects. For instance, it seems that refreshments sold in theatres will be taxable, since Clause B of Section 1 reads: “ ‘price of aq. mission’ includes any charge made or fee collected after aqmission to a place of amusement, and any charge made ina place of amusement for meals or refreshments that are served in conjunction with any dance, performance or entertainment.” Clause D of Section 1 defines a “place of amusement” as “any theatre, moving-picture hall, dance hall, concert hall, music hall, circus, side-show, carnival, amusement park, race-course, baseball park, athletic park, skating rink, or place at or in which an exhibition or entertainment is given or amusement is provided or facilities are provided therefor or game is played, where an entrance fee is charged or fee collected through the sale of tickets or otherwise, or where after . admission a charge is made or fee collected, -and includes any Place where dances are held or facilities for dancing provided or a performance or entertainment is given before, during or after the service of meals or refreshments,” All such places must be licensed and penalties are provided for those who do not meet the requirements of the Act. The license will cost $1 and must be displayed. Absorption of the tax is Pro hibited and entertainment to raise funds for charitable, religious or educational purposes may be exempted. 1 U-I's "Snow Capers Empire-Universal has release? Universal-International’s two-Teé featurette of skiing and winter sports in and around Banff, x berta, titled “Snow Capers. is one of a series of three, the others to be filmed in Ontaric and Quebec.