Chapter 288 Standardizing Entertainment Industry Contracts
"Brother, what do you think the new director of the State Administration of Radio, Film and Television means? Is he going to make three big moves upon taking office or is he really planning to clean up the entertainment industry?" Wang Zhonglei frowned and said with a hint of dissatisfaction in his tone.
Wang Zhongjun glared at him sternly and shouted, "Shut up! Do you want to die?"
Wang Zhonglei retorted unconvincedly: "Brother, there is no one else here, what are you afraid of."
"Shut up! What do you know?
Don't you know that walls have ears? If someone spreads your words to his ears, do you think our company can still operate?" Wang Zhongjun lowered his voice and warned with a gloomy face.
After hearing this, Wang Zhonglei still felt a little disapproving, but he kept his mouth shut.
After a while, Wang Zhonglei couldn't help but speak again: "Brother, it's not that bad. We have people behind us. We are the first listed film and television company in China, and there are many powerful shareholders behind us."
Wang Zhongjun sneered, shook his head, and said helplessly: "You underestimate the role of power. If Minister Qi wants to kill us, it will be no more difficult than crushing an ant."
He knew very well that although they did have people behind them and helped some leaders launder money, these people could never be compared with Qi Tongwei.
As the director of the State Administration of Radio, Film and Television, Qi Tongwei holds enormous power and can easily influence the fate of film and television companies.
Just making things a little difficult for Huayi Brothers during the review process is enough to put their company in trouble.
“What should we do then? Should we really ask the celebrities to surrender themselves and voluntarily pay the taxes?” Wang Zhonglei asked.
Wang Zhongjun thought for a moment and said, "Don't worry about it for now. Let's see what other film and television companies are going to do. We can't be the first to do so and offend the entire industry."
Most film and entertainment companies have chosen to adopt the Wang brothers' approach and take a wait-and-see attitude.
Beijing, State Administration of Radio, Film and Television.
"Minister Qi, I have contacted the tax department, and so far no one has voluntarily paid the back taxes," Li Chengyang reported.
"I have guessed this a long time ago. Don't worry about it for now. Three months is three months. After three months, the tax department will check all entertainment companies. You will lead the team to follow and supervise them.
Once the existence of hidden contracts, tax evasion and other behaviors are discovered, they will be dealt with to the maximum extent possible.
Not only the stars themselves, but also the companies, accountants, legal departments, and intermediary companies that help stars evade taxes must all be dealt with seriously. Deterrence must be created to let them understand the consequences of breaking the law.
"Also, this is a standard entertainment industry contract I drafted. You are also a legal expert, so take it and have a look. Then find another expert to review it. All future contracts will be based on this."
Qi Tongwei found that celebrity contracts were all kinds of strange and the payment methods were also varied.
Some even paid with real estate, jewelry, calligraphy and paintings, while others simply opened the contracts. These payment methods seem reasonable on the surface, but in fact they provide opportunities for some lawless elements to take advantage.
Take the film pay for example. A certain star’s pay was 500 million. Because the crew had financial difficulties, he simply used his pay as shares, and the contract directly signed a share of the box office revenue.
This is a classic example of tax evasion, as it allows actors to convert their personal income into corporate income, thereby reducing their tax rate.
In addition, some stars evade personal income tax by splitting contracts, setting up studios, etc.
In response to these problems, Qi Tongwei decided to develop a unified contract template and required all relevant personnel to strictly abide by it.
He developed a new contract template with the aim of preventing celebrities from evading personal income tax by using the excuse of reasonable tax avoidance, opening contracts, signing secret contracts, or signing contracts in the name of the studio.
He wants to establish a rule that personal income is personal income and business income is business income, and they must not be confused.
Doing so can not only avoid tax risks, but also protect the rights and interests of both parties, while also helping to regulate the order of the entire entertainment industry.
Qi Tongwei is a legal expert and Li Chengyang also has rich legal experience. With the help of experts, the new contract template was produced in less than three days.
"Bingbing, the State Administration of Radio, Film and Television has just announced a sample contract. From now on, we can no longer sign contracts in the name of the studio." Agent Mu Xiaoguang took out the contract he had prepared a few days ago and shook his head.
"What does this mean?" Fan Bingbing asked her agent Mu Xiaoguang beside her puzzledly while putting on makeup.
She will be meeting Hengda CEO Xu Jiayin later. The other party is planning to set up Evergrande Cultural Industry Group. This is a financial sponsor with assets of over 100 billion yuan. Once she gets his support, she will definitely stand out among the female stars in the domestic entertainment industry.
Mu Xiaoguang frowned, looked at the document in his hand, and explained with a sullen face: "It roughly means that from now on, the actors' pay and other labor income can no longer be paid in cash.
Moreover, it is not allowed to pay remuneration in disguised forms such as equity, real estate, jewelry, calligraphy and paintings, collectibles, etc., so as to conceal the real income.
In addition, we must strictly distinguish between personal income and studio operating income and company income.”
Mu Xiaoguang was in a bad mood. As a white glove, this rule cut off most of his income.
"What does this have to do with me?" Fan Bingbing said casually.
When she was 15, she enrolled in the Xie Jin Film and Television Art College of Shanghai Normal University. To put it bluntly, she is better than an illiterate person. Although she can handle interviews and programs with ease, it is just because of advance preparation.
How could she have the time to learn financial knowledge? Moreover, the complex circle of the entertainment industry can easily change a person. After all these years in the entertainment industry, she has become a person who is keen on fame and fortune.
In addition, he is so popular with fans and the media that he cannot put himself in the right position and has a weak legal awareness.
With her level of knowledge, she didn't understand the true meaning of this regulation.
Even in the previous contract, she only cared about how much money she would get, and left the rest to her agent.
In the past, she had Wang Jinghua to keep an eye on things for her, so she could still be cautious and keep to the bottom line. But now, she has been replaced by her white glove Mu Xiaoguang, who is only interested in making money and completely ignores the law.
Fan Bingbing only thought that Mu Xiaoguang was attracted by her appearance, and she didn't expect that he not only wanted to sleep with her, but also wanted to use her to make money.
Mu Xiaoguang took a deep breath and tried to calm himself down. He couldn't let Fan Bingbing know that there was a problem with the previous contract. He said slowly, "Well, it's okay. I just want to remind you."
"I see. It's almost time. We should go meet Mr. Xu." Fan Bingbing had no time to discuss these things at the moment. All he could think about was Boss Xu.
Mu Xiaoguang glanced at Fan Bingbing covertly, his eyes full of desire. This woman was fat but not greasy, which could arouse people's desire.
Thinking of this, he couldn't help but envy Xu Jiayin.
It is said that Xu Jiayin specially kept a group of beautiful women with both good looks and artistic talent as his harem, and also used them to do public relations for some powerful people. This is already enviable.
Judging from Fan Bingbing's posture today, he is probably ready to sacrifice himself.
His thoughts did not escape Fan Bingbing's eyes, but she just pretended not to know. She liked men looking at her with such eyes.
Sometimes she doesn't mind letting the other party take advantage of her, but she can forget about committing herself to Mu Xiaoguang. A talent like Boss Xu is worth her effort.