Motion Picture Daily (Jul-Sep 1954)

4 Motion Picture Daily Wednesday, July 7, 1954 Probe Tax Sources To Replace City's Amusements Levy With the objective of laying a fomulatioii for an equitable system of city taxes consisting of a few broadbased levies in place of the existing collection of "nuisance" taxes, a study of possible sources of additional city revenue to meet larger budget requirements in 1955-56 will be conducted soon by Dr. Luther H. Gulick, New York city administrator, and his staff. Gulick and his staff hope to make the results of their study available in time to be of value to Mayor Wagner when he prepares a fiscal program for consideration by the 1955 state legislature. One of the broad-based taxes to be given consideration by the Gulick group, which may, according to City Hall observers, possibly do away with the current five per cent tax on amusements, will be some form of city income or payroll tax. Fear Political Embarrassment It is common knowledge that soine top city officials believe that a local income tax would be an equitable method of raising budget funds. But they are convinced that serious political embarrassment would result for those who would sponsor such a tax. They concede, however, that such a tax would make possible the elimination of such irritating and discriminatory taxes as those on amusements. City officials, while contemplating enactment of the amusement tax, admitted that a payroll tax would yield upwards of $60,000,000 a year, as compared to the $16,700,000 estimate of the current admissions tax. Makelim East (Continued from page 1) foreign distribution rights to pictures made under the Makelim plan. Makelim will attend meetings of exhibitors in Charlotte on Monday, in Atlanta Wednesday, and will confer with Allied executives in Washington, before returning to Hollywood. Two Close for Summer CLEVELAND, July 6.— Two theatres in this area have closed for the summer, while the operators of a third are opening the house only on weekends. The two suspended theatres are the Kinsman, in Kinsman, and the State, Barnesville. The Falls, in Cuyahoga Falls, is being operated on weekends. PREVIEW SCREENINGS ^^^^^^ "SHOWPLACE OF THE EAST" • Three Channel interlock projection • ITVimm & 35mm tape interlock • 16mm interlock projection CUTTING & EDITING ROOMS AVAIIABIE MOVIEIAB THEATRE SERVICE, inc. 619 W54lhSt., N Y. 19, N. Y. • JUdion 6-03A7 Rembusch-Goldwyn ( Continued from page 1 ) be reduced in number. Further, theatres will close until insufficient theatres or no theatres will remain open to defray production costs. Then where will Sain Goldwyn play his pictures? "The fewer pictures, fewer-theatres philosophy adopted by many in production is sheer madness and certainly points up a wonderful locale for the newly graduated psychiatrist to set up shop." Looks for Sanity Rembusch, former member of the Council of Motion Picture Organizations' governing triumvirate, former president of Allied States and of Al lied Theatre Owners of Indiana, concluded : "At the moment I am in the mood to get a real estate man in and see what type of retail business would be interested in leasing my theatre properties for retail establishments. If I am forced to go this route I know I will deal with sane men who know that reduction of manufacturing units is not the way to achieve success in this country and have the satisfaction of knowing that I am cooperating with Mr. Goldwyn in his fewer pictures, fewer theatres plan. So that in another few years I can sit back and sing "I Wonder What Became of Sammy? ' Patrons Fret (Continued from page 1) last week indicated a knowledge that admissions increases were due to the tax, and not the fault of theatres. Most objections were directed toward the city, rather than against the houses, Frisch said. He was referring to comments reported by the circuit's managers before the weekend. Frisch said that it was too early to evaluate the reports, however. He planned a meeting with Randforce circuit managers last night, at which fuller reports were to be discussed. Some audience comments overhead at Randforce circuit houses late last week, according to Frisch, voiced opinions like, "The city's always looking for new money, why don't they try economy for a change." In most cases, Frisch said, comments expressed antagonism against the city for imposing the tax and not film houses, for the hike in admissions. Expect Report This Week Meanwhile, the research staff of the Temporary State Commission on Fiscal Affairs of State Government, requested by Gov. Dewey three weeks ago to study the validity of the levy, indicated a report should be completed this week. After study of the statistics compiled by the research staff, commission members will file a formal report to the Governor. Gov. Dewey on June 15 asked the commission to determine whether the legislature at its next regularly scheduled session in January, should not be asked to repeal the 1947 "enabling act" which authorizes the city to levy the amsuement tax. In another phase of the tax picture, Irving Greenfield, assistant to Loew's Theatres general counsel, yesterday said industry legal representatives are still in the midst of their study of the tax's major fraction provision. Exhibitor counselors intend to prove that the tax is in violation of the state law empowering the city to levy the tax. Greenfield said that no target date could be set for presenting a motion before the State Supreme Court until "we develop our best case." Bollengier to Coast A. E. Bollengier, treasurer of United Artists, left for Hollywood yesterday to be gone three to six months. He will set up a program to coordinate accounting procedures with independent producers whose pictures are distributed by United Artists. Ray Lewis (Continued from page 1) Theatre here, acted in Shakespearian plays and lectured extensively throughout the Dominion. Mrs. Lewis was an importer of foreign language films to Canada, bought the Avenue Theatre, Toronto, and opened the Alliance Film Exchange in 1940. She was a partner affiliate of Famous Players Theatre Corp., B & F Theatre Circuit, a member of the Woman's Music Club of Toronto and the Women's Committee of Toronto Symphony Orchestra. On 'Pioneers' Board Mrs. Lewis was also on the board of trustees of Canadian Moving Picture Pioneers and the Independent Benevolent Fund. Johnston to Report (Continued from page 1) Johnston had refused to make the terms public, saying he wanted to report to the board first. Johnston, who returned to this country over the weekend, reported to President Eisenhower at the White House this afternoon the mission he carried out for the President in the Near East. Later, he discussed the situation with State Department officials. It is reported that the new Italian agreement contains no clause which would require approval of the U. S. government. Skouras Abroad for C'Scope Showings LONDON, July 6. — Spyros Skouras and Murray Silverstone are expected here for the London demonstration of "The Advancing Techniques of CinemaScope" at the Carlton, Haymarket, on July 13. The London demonstration, before exhibitors and newspapermen, will be followed throughout the British Isles and Eire in the following towns : July 16, Essoldo, Newcastle ; Deansgate; Manchester. July 20, La Scala, Glasgow ; Futurist, Liverpool. July 21, Futurist, Birmingham; Dominion, Leeds. July 23, Park Hall, Cardiff ; Hippodrome, Belfast. July 27, Savoy, Dublin. Meanwhile, 20th-Fox London office is confident that 500 British theatres will have installed CinemaScope by the end of the year. Statement of Policy On Subsidies Asked Of Dulles by Arnall The U. S. Department of State has been requested to make a complete investigation of the Motion Picture Export Association's pact with the French government on the grounds tiiat it is in restraint of fair export trade practices of domestic competitors of the MPEA by Ellis Arnall, president of the Society of Independent Motion Picture Producers. In a letter to Secretary of State John Foster Dulles, Arnall asked that if the Anglo-French film agreement, in which it appears that MPEA has "in truth and in fact made an outright gift, grant and subsidy to the French motion picture industry, found violative of the policy or law, it should be abrogated and set aside." See Export Trade Hurt Arnall said that such a grant restrains the export trade of MPEA domestic competitors in doing business in France. It also enables the French motion picture industry to obtain funds from MPEA for use in an unrestricted fashion for the production, exploitation, advertisement or even the exhibition of French pictures in the U. S. as well as other countries in competition with American producers, the former Georgia governor stated. The effect of the so-called agreement, Arnall advised Dulles, amounts to a purchase of certain economic privileges from the French government by the MPEA. "These privileges are denied to American competitors of MPEA who may desire to do business in France," he said. Since MPEA president Eric Johnston is consummating trade agreements containing subsidy commitments with foreign governments concerning motion pictures, it is vital, Arnall said, to SIMPP that "we know whether such agreements have the approbation and approval of the Department of State and whether they are in line with the general economic and foreign policies of the government." Decries 'Subsidy' Theory Arnall said that "we strongly feel that if the theory of subsidy payments spreads, as it inevitably will if approved by the State Department, American nationals doing motion picture business in foreign countries will be restricted and restrained, and will be required to pay a price for permission to engage in foreign trade and commerce." The letter to the head of the Department of State was termed by Gov. Arnall as a formal request for a statement of policy as to its approval or disapproval of the trade practices employed by the MPEA in the socalled French agreement. 'Living' Bows Today Paramciunt's "Living It Up" will open at the Criterion Theatre here today. ONLY A LITTLE MORE GO FIRST CLASS Live in Sunset Sfn'p Beverly Hills Areas ED FOWLER CO. REALTOR 8373 Sunset Blvd. Hollywood 46, Calif. Hollywood 2-7236