Stakeholders in the entertainment and audio-visual industry have rejected the new five per cent levy being introduced by the Lagos State Film and Video Censors Board (LSFVCB) on behalf of Lagos State Government.
The Executive Secretary of the Board, Mr. Bamidele Balogun, had last week announced a 30-day ultimatum for content producers to duly register their contents with the body.
He had said “the board will advise practitioners involved in production, sale, distribution of audio and visual products to register their products through the board’s authorised agent within 30 days.
“Practitioners and stakeholders are also informed that, henceforth, all audio and visual contents produced and sold within Lagos State shall attract the payment of five per cent levy on each item.”
Balogun had explained that the exercise would assist the Lagos State Government in policy formulation, planning and funding of the creative sector.
He also stated that it came up with the decision after due consultation with stakeholders like the Performing Musicians Association of Nigeria (PMAN).
However, a faction of PMAN in a disclaimer signed by its National President, Pretty Okafor, last Friday dissociated itself from the board’s action.
Okafor explained that the LSFVCB lacks the authority to impose tax and levy on citizens, saying the board’s powers cannot operate in conflict with the National Film and Video Censors Board (NFVCB), a federal agency.
“PMAN will not support any scheme that seeks to illegally exploit and defraud musicians and content owners from their royalties,” he added.
He threatened that perpetrators associating PMAN with LSFVCB’s illegal activity will be held accountable for publishing such false information.
Similarly, the Comrade Obi Okwudili Casmir-led faction of PMAN, has also dissociated itself from the new policy that has continued to generate controversy.
The Casmir-led PMAN, through a statement, said it had no contractual agreement with the LSFVCB.
The statement partly reads: “The registration of practitioners and content in the industry is purely LSFVCB’s mandate. PMAN only featured in a media press briefing as a major stakeholder in the industry alongside other partners of the project.”
The statement further explained that the initiative is not a stand-alone development but part of the state government’s strategy to put in place a comprehensive all- embracing policy designed to resolve the challenges facing the creative industry.
Meanwhile, the Executive Secretary of the National Film and Video Censors Board, Alhaji Adedayo Thomas, in a message to concdrned stakeholders said that it appeared the Lagos Censors Board might not have adequately carried the state’s commissioner for Tourism, Arts and Culture, Mrs Uzamat Akinbile-Yusuf, along before issuing the statement and that a review and better consultation would be necessary.
He therefore added that the NFVCB would organise a stakeholders’ meeting on Thursday August 20, 2020 to fashion a way forward.
Several other creative industry stakeholders on various social media platforms had expressly lashed out at the proposed levy, arguing that it amounts to multiple taxation on content owners at a time that government ought to provide visible palliative for a sector that is already in dire straits.
Many others content that while censorship and classification of films might be in the concurrent legislative list, the Lagos Censors Board lacks the authority to regulate audio-visual works outside of film classification, let alone the power to impose levies on entertainment content that does not require regulation from the Board.
TCN authoritatively gathered that not only is the NFVCB vehemently opposed to the proposed levy and Balogun’s approach in communicating it but that most practitioners are also against it because it was an idea hurriedly sold to Lagos State government by a consulting firm with no track record in entertainment or management of audio-visual industry.
In his defence, Balogun said the prior announcement of contents registration and five per cent tax on audio and visual contents “was a communication gap that creates the unfortunate impression of a levy without corresponding benefits.”
He said the comprehensive policy initiative encompasses mass job creation and profitable investments guarantee, among others.
According to him, the initiative is also designed to resolve current challenges facing the entertainment industry such as piracy, distribution, production funding, etc.
He however called on all stakeholders to await its comprehensive new policy and not pre-judge it based on the contents registration only.
Background
Established on August 18, 2004, the Lagos State Film and Video Censors Board (LSFVCB) is tasked with the major responsibility of regulating, determining and ensuring that film contents conform to the moral standards of people of the State.
Although tasked with regulatory, control and censorship responsibilities, the board’s proposed comprehensive new policy, according to Balogun, hopes to solve the existing problems of lack of accurate data of practitioners, low returns on investment for content owners resulting in equally low IGR for the State and inability to track owners and users of entertainment and creative contents.
Also, the Baseline Data Registration Portal For the Creative Industry is designed to create an empirical information system on media and entertainment businesses; develop a transparent and accountable ecosystem for tracking the usage of creative contents; support the creative hub with statistical data.
According to the LSFVCB, the project will be in two stages. The first is the collection of baseline data and information of industry practitioners. The second will stage involve the collection and identification of content.
Although the board’s flagship target audience include music, film and video sector contents, but will include other businesses with creativity at their heart such as fashion, publishing, craft, visual art, literature, toys and game, software, performing art, TV & radio, advertising, design, architecture etc.
