The Best Entertainment Era

Helen's restaurant, Ronan came back just in time for dinner.

I heard that Hollywood actresses are willing to do anything to get a role? Tony Koch, Helen's son, was full of curiosity: Ronan, is this true?

Ronan didn't answer directly, but said: There are always some people who are more courageous.

Tony Koch is a few years older than Ronan, but far less mature than Ronan: Next time you make a film, take me to see it.

Helen swallowed the food in her mouth and reminded: Tony!

Mom! I deal with a bunch of old guys all day in Munich. Tony complained, It's so boring.

Ronan did not directly refuse, and said, Tony, you have to go to Los Angeles with me.

Tony scratched his head: Didn't you come to Berlin to make a movie?

It's dealing with some business related to movies. Ronan cut off a piece of roast meat, put it into his mouth to taste it carefully, and then raised his thumb to Helen: Auntie, your cooking skills are excellent.

Thank you. Helen looked very happy.

Tony Koch interjected: Ronan, let's talk about some interesting topics, such as celebrity gossip and secrets.

Ronan put down his knife and fork, wiped his mouth with a tissue, and said, Tony, do you really want to know?

Yeah. Tony nodded heavily.

Ronan laughed, You start a film company, and you'll know everything soon.

Tony Koch shrugged: I can't deal with studios.

Helen thought that Ronan was joking, and said, Tony is in finance, and he has never been in this industry.

Ronan looked at Helen, and said seriously, Auntie, Tony, do you want to start a movie company?

Tony froze for a moment, but Helen stared at Ronan, and Ronan said calmly, This is not a joke.

I said Ronan. Although Tony was immature, he was not stupid, Your suggestion is too outrageous.

Helen shook her head straight: Honey, we don't understand movies, and we don't understand the operation of film companies. We are completely laymen.

Ronan said seriously: I mean to register a shell film company... By the way, Auntie, you are the legal person of the meat company, right?

It's me. Helen said.

You can let Tony register a film company. Ronan said with a smile: Cooperate with my Sand Sea Entertainment, and then legally avoid taxes for you and the meat company.

Helen didn't have much experience with the film industry, but when she heard about legal tax avoidance, she became more or less interested: Really?

Ronan said directly: The German tax law stipulates that if personal income and part of corporate income are used for film investment, this part of the income will be exempt from tax.

I know that. Helen still has some understanding of tax laws: But film investment is a high-risk industry, and all the money invested may be lost, and I don't understand film operation at all. How much tuition to pay.

Ronan reminded: Auntie, you overlooked it. I'm talking about a shell film company. This company does not need to prepare a film project, nor does it need to actually shoot a film.

Helen was completely confused by Ronan: I don't quite understand what you mean.

Tony became interested: If it is really possible to legally avoid taxes, you can also open a shell company. We have to pay so much tax to the government every year.

Helen glared at her son and asked, Ronan, why don't you register the company yourself? It doesn't matter if you're a foreigner or a German, it's easy to open a company in Berlin.

Ronan shook his head: If you want to legally avoid taxes through movies, you must be a German company.

Helen thought for a while and said, Tell me more about it.

The shell company doesn't cost much, and Ronan seems to be a pretty reliable person.

Ronan said carefully: Auntie, I am running two film projects,

The total budget is $40 million. If Tony has a film company, I will sell two projects to Tony for $40 million...

Wait. Tony interjected, Forty million dollars...Ronan, you sell me.

Ronan ignored him, and said: I will sell the copyright of the two projects to Tony's company, and then rent the film back from you at a suitable price, such as US$25 million or US$30 million, and continue I'm preparing for the shoot.

Huh? Helen was full of doubts.

Listen to me. Ronan continued: Auntie, your annual personal income tax and some corporate taxes are very high, right?

Yes. Helen nodded slightly.

Ronan continued: According to the German tax law, corporate or personal income invested in movies can be classified as tax-exempt, while the return on investment is treated as normal after-tax income, which means it can be tax-exempt.

Tony said at this time: I understand. For example, if I get 1 million income, I have to pay the highest proportion of personal income tax according to the tax law, which is 510,000, but the actual income is only 490,000. But I use this 1 million to invest in movies. , I will get 1 million film revenue share later, and this 1 million will be tax-free.

Ronan has studied many cases before and consulted Muller's lawyer in detail. He knows more about this than most Germans.

That's right, your 1 million income has escaped the tax bureau's exploitation. Ronan said calmly, It's still a completely legal way.

Helen is also a businessman, and said: This is a legal way to avoid taxes. She shook her head again: But the combined annual income of my personal and the company is not 40 million US dollars.

But Ronan said: Aunt Helen, your friends or partners can use this method to avoid taxes. He almost patted his chest: I own a Hollywood production company, Auntie, you have advantages that other people don't have at all.

Helen is thinking about it seriously.

Ronan added: If Tony's shell company can attract 40 million US dollars, and then buy the copyright of my two projects, I can guarantee that Tony will get back 40 million US dollars. First, Sandsea Entertainment prepaid 30 million US dollars of film income as rent , and then pay another 10 million US dollars in investment share, Tony’s investment of 40 million US dollars will not be less.”

It's indeed a good idea. Tony nodded again and again: Tax avoidance alone can offset the company's operating profits for a long time.

Taxes are a headache for any company or high-income group.

Ronan said again: Tony, you helped so many people legally avoid taxes, and the 5% handling fee is not much at all.

Tony's eyes lit up.

Ronan continued: According to my understanding, film companies that operate like this in Germany generally charge a handling fee of 5% to 10% of the investor's total investment, up to 15%.

Tony laughed. For those who pay thirty or forty percent tax, that's not much at all.

Ronan, you didn't come to Berlin to help your aunt avoid taxes, did you? Helen said suddenly.

Of course not. Ronan said truthfully, I have benefits too.

He said directly: There is also a provision in the German tax law that film investors can get a tax refund in advance before the film is shot. It is not only valid for German films, but also for foreign films invested by Germans; German law does not require films to be Shooting scenes in Germany or must cooperate with German filmmakers, but only require German film companies to own the film copyright and corresponding dividends.”

I sold the film rights to Tony, which is in full compliance with the law, and then Tony leased the film rights to me for a period of 20 or 50 years. When the project is over, I will buy back the film at a symbolic price. copyright.

These two projects are switched between Sandsea Entertainment and Tony's company, which means I have an extra tax refund income from the German government. The tax refund amount is roughly 10% of the estimated income of the film project. This estimated amount must be Enough actual data as a support, it cannot be too high.

Helen sees through the essence: If the tax rebate is 10 million dollars and the movie has not started shooting, your 40 million dollars may become 50 million dollars.

Ronan smiled: It may not be a big deal to get 10 million dollars.

There must be an intermediary agent to help pass the trial, all of which cost money, and it would be nice to get a few million dollars.

However, this money is a tax rebate and does not need to be included in the income of the two film projects at all.

Helen picked up the water glass, took a long sip slowly, and said, Are you sure you can get the tax refund for those two items?

Ronan said truthfully: I have found an intermediary agent who has successfully completed this business many times, and I am 70% to 80% sure.

Helen put down the water glass and said, I'll think about it seriously.

After dinner, Ronan and Tony continued the conversation in the living room. Helen entered the study and called the company's lawyer: Lawyer Hans, come to my office tomorrow. I need to consult you about something.

(The tax rebate policy in Germany really exists. This paragraph refers to the Film and Television Budget Handbook written by Dick Simon in the United States. There are many complex operation cases about German tax rebates, such as the Mission: Impossible and Lord of the Rings series. Here is just a reference to the simpler one. Those too complicated ones make me dizzy, and the professional knowledge is too poor...)