China to pay Hollywood studios millions in owed taxes
LOS ANGELES (AFP) - China will pay major Hollywood studios tens of millions of dollars in owed local box office revenues following the resolution of a tax row, the studios said on Tuesday.
State-owned China Film Group stopped payment at the beginning of the year, when American studios took issue with a two per cent value-added tax that the world's most populous nation was levying on US films.
The affected US studios include Sony, Warner, Fox, Disney, Paramount and Universal.
In a statement, the Motion Picture Association of America, which represents the studios, signaled an agreement had been reached.