[Source: File]

The previous government has paid out subsidies of $235.5 million to investors using Fiji as their location for film production.

Minister for Finance Biman Prasad says we still have an outstanding balance of over $180 million to be paid out.

Prasad says for the outstanding rebate payment, the government has a legal obligation to settle these dues.

As such, he adds, for each financial year from 2021 to 2022, $40 million has been allocated to settle those outstanding film rebates according to the production payment plan or schedule developed by Film Fiji in consultation with the Ministry of Finance.

”Since the 2021–2022 budget, $68.7 million has been approved and paid out to production houses. In the 2021/2022 financial year $38,567,000; 2022/2023 $30,097,000 and total rebate paid $68,664,000.”

The Minister says the film tax rebate was reduced from 75 percent to 20 percent of local expenditures with a cap of $4 million.

Prasad says despite the reduction in rebate levels, Film Fiji has received three applications for the new film tax rebate.

”These productions have been furnished with their provisional approval to shoot in Fiji. The approved productions are US Survivor Seasons 45 and 46, including Flight to Survive.”

Prasad says under the previous government, film production in Fiji was eligible for a 75 percent rebate on expenditures incurred in Fiji, with a minimum expenditure of $250,000 and a maximum rebate cap of $15 million.

He adds that this meant that if a production company spent $20 million in Fiji to produce a film, the taxpayer or the government would provide a direct subsidy of $15 million, even though it was disguised as a rebate when, in fact, it was a direct subsidy.