Tags: china | movie | stars | pay

China Movie Stars' Pay Capped

China Movie Stars' Pay Capped
Chinese actress and singer Fan Bingbing poses during a photocall ahead of a diner for the launch of a Louis Vuitton leather goods collection in collaboration with US artist Jeff Koons, at the Louvre in Paris on April 11, 2017. (Gabriel Bouys/AFP/Getty Images)

By    |   Thursday, 28 June 2018 03:13 PM

In China, movie stars' pay is being capped at 40 percent of the total production budget in an effort to prevent tax evasion and fraudulent contracts, The Hollywood Reporter said Thursday.

Chinese media regulators allegedly made the move in response to actress Fan Bingbing, who allegedly used fake contracting to hide her real income, the celebrity publication said.

The 40 percent cap was a joint directive signed by five government regulatory bodies, including the Propaganda Department and other film and tax authorities, The Hollywood Reporter said. The notice stated that lead star's pay should not exceed 70 percent of the total wages paid to the cast, according to The Hollywood Reporter.

Chinese television host Cui Yongyuan reportedly exposed the issue in May after posting film contracts thought to belong to Bingbing, the country's highest-paid actress, The Hollywood Reporter said.

One contract was for $1.6 million and the other for $7.8 million, displaying what has been called "yin-yang" contracting, an allegedly widely used system that enables stars to report only the smaller sum to tax authorities, the celebrity publication said.

While not mentioning Bingbing, the Chinese government notice stated that "sky high pay" for actors created problems that have "damaged the health of the film and TV industry" and led to "money worship," "the youth blindly chasing celebrities" and "distorted social values," the BBC News reported.

Wednesday's notice said productions should "prioritize benefits to society," rather than considering "just box office returns, ratings, and click-through rates," according to the BBC News.

Chinese authorities have long been known for heavily controlling and censoring public forum and the media, filtering out sensitive words on the Internet and telling the country's journalists to follow the leadership in "politics, thought, and action," the BBC News wrote.

Television dramas were given new rules governing their content last year and ordered to "enhance people's cultural taste" and "strengthen spiritual civilization," with their productions, according to the BBC News.

The broadcaster said, though, with China expected to become the world's largest film market soon, Hollywood is already making movies that appeal more to their audiences.

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In China, movie stars' pay is being capped at 40 percent of the total production budget in an effort to prevent tax evasion and fraudulent contracts
china, movie, stars, pay
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2018-13-28
Thursday, 28 June 2018 03:13 PM
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