KUALA LUMPUR – Rebates given by the National Film Development Corporation Malaysia (Finas) to foreign productions must be spent in the country, said Hans Isaac.
The former Finas chief, speaking to The Vibes after screenshots of the film body’s logo in the end credits of The Mandalorian made the rounds online, said the Disney production received a rebate under the Film in Malaysia Initiative (Fimi).
“When I was chairman of Finas for 14 months, this (The Mandalorian) project was put under the Fimi rebates, which are under Finas.
“They did the first season, and for the second season, they came back for a renewal of the grant. So, we supported it.”
Under the Fimi programme, foreign films and TV shows that use local facilities and manpower get a 30% rebate.
“To any foreign company that acquires a locally based company, and the funds are spent locally, we give the rebate,” said Isaac.
“The money does not leave the country. The money is spent in Malaysia for a Malaysian workforce.”
This is done with the expectation that production or post-production for these films and shows is carried out in Malaysia.
Also, cash is not given outright, with foreign companies required to provide receipts and billings first.
“They have to justify, based on documentation, that the money was spent here in Malaysia,” said Isaac.
He added that hit movie Crazy Rich Asians and various Netflix productions, too, have received rebates.
Malaysian netizens have questioned why Finas granted the rebate to The Mandalorian, a Disney+ series that is not available in the country.
Isaac said he has held talks with Selangor Menteri Besar Datuk Seri Amirudin Shari on reducing the entertainment tax in the state.
“Two months ago, I negotiated a deal with the MB to lower the entertainment tax, and this was announced and approved yesterday (Friday). I would like to thank the Selangor government for this.
“So now, under the Selangor Budget 2021, we managed to bring down the entertainment tax from 25% to 15%.” – The Vibes, November 1, 2020