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Rhythm & Hues winning VFX awards, going bankrupt - Page 2

Blogs > Lysenko
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Aerisky
Profile Blog Joined May 2012
United States12128 Posts
February 25 2013 08:55 GMT
#21
Huh, really. In that case, I think rectifying the unjust subsidies would be a good place to start. I wouldn't necessarily be in favor of heavily protectionist policies, yeah, but there is clearly something wrong. You guys do deserve some better treatment though, especially after the kind of exploitation involved with margins being cut. You see this happening in tech (especially low-power hardware) or ostensibly video game companies as well afaik. Hope this gains traction.
Jim while Johnny had had had had had had had; had had had had the better effect on the teacher.
Lysenko
Profile Blog Joined April 2010
Iceland2128 Posts
Last Edited: 2013-02-25 09:05:59
February 25 2013 09:04 GMT
#22
A typical case is Quebec, which refunds 60% of all compensation expenses as a refundable tax credit (meaning that even if a company pays 0 taxes, they get that money back in cash.) So, studios require VFX companies to move to Montreal and pass along that 60%. There's no way to compete with that on price alone.

This is not good for the taxpayers in those places either. British Columbia has had a very generous program for a while now, and last year that program wound up paying out $500 million to the major film studios. BC is considering eliminating this program, and needless to say, their artists aren't happy.
http://en.wikipedia.org/wiki/Lysenkoism
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